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tii t5 a: . $219,900. View of the lake. . Fabulous condo with 2 cat spaces ' outstanding rocraaiional facilities. . Walk to BIOMO harbour a find quaint shops, boutiques a rosiautanh. 67 Lakeshore Rd. W., Ookvme FANTASTIC BUY IN "OLDE . Vendor says "sell before Xmatl" . Beautifully ronovafod - loaded with charm. . Steps to 'GO" ' downtown Oakville. . Call for details on this exceptional home. RPM! Mme/rte DEBOitAH-l.EE SIMPSON 'uepetrxMnttytsrtedtmtttxxtto EXCLUSWE "ENNISCLARE-ON-THE-LAKE" OVER 17 YEARS' OF REAL ESTATE EXPERIENCE AS A TOP PROWCBR ASSOCIATE BROKER But. 338-9000 Ros. 845-2870 mod CONDO TOWNHOUSE NEAR LAKE DEBORAH-LEE SIMPSON OAKVILLE! Mam KORHE-SUE About 25 years ago somebody in Britain came up with a bright idea. Why not sell a homeowner something called a reverse mortgage. Actually, it's best described as a form of home equity con- version plan. Under the program a portion of the equity built up in an individual's home is used to provide a lifetime income. may be insumcient to meet yet they are living in a h have a market value of $10 more The benefits and drawbacks of reverse mortgages are house rich and ( ht Tl There are eniors who own their " avm e had on the property. iilemma these individuals e is that their retirement great many Mt Af any mort o meet all their needs, in a house that may of $100,000. or much )OOI' M 1n adians who 'me out 1ncom< )f them the ou The dollar amount the homeowner receives from mortgage lender is based on the property value of the house or condo- minium, the individual's life expectancy and current mortgage rates. The individual can receive up to 25% of the principal amount of the mortgage as a lump sum and the remainder will be paid out in the form of annuity payments. The individual continues to live in the house and continues to hold the title, simi- lar to a regular mortgage. However, if the homeowner sells the property before death or when the individual dies, the mortgage lender has first claim on the property. Reverse mortgages started to appear in North America about 15 years ago, but have so far received a lukewarm reception. (Harry Mardon a freelance business journalist, writes this column on behalf of Winnipeg-based Investors Group Inc., a rtnancial services company.) First of all, the concept isn't quite as simple as it sounds and the amount of lite- time income provided under the program may be surprisingly less than the individu- al expected. Another drawback is the dan- ger the value of the property may plummet .while the value of the loan increases year by year. For many seniors, the family home rep- resents the largest bulk of the estate they will be leaving. But with a reverse mort- gage loan, the value of the estate for an individual's heirs is greatly diminished. Many professional financial planners are not in favor of reverse mortgages. Instead, they suggest, seniors should seri- ously consider selling the family home, which in many cases may be "too much house" for them or difficult to maintain. The big attraction of a reverse mortgage is that you don't have to make any pay- ments on the mortgage loan during the term of the plan. The interest is accumulat- ed each month and added to the mortgage loan value. However, there are some significant drawbacks to the concept of reverse mort- gages.