Excessive Mortgages, Financial Well-Being, and Financial Skills Among Older Homeowners
Location: One Bow St, 4th Floor
Over the last few decades, the share of older homeowners with mortgage debt has doubled, while the typical amount of outstanding debt relative to home values has tripled. In this presentation, Alexander Hermann, a research analyst at the Center, discusses a forthcoming paper – coauthored with Christopher Herbert and Jennifer Molinsky – that examines the financial well-being of older, indebted homeowners, and assesses their financial knowledge, skills, and practices. Households with higher monthly housing costs and higher levels of mortgage debt are more likely to face material hardships. In addition, older adults with higher financial skill and who save habitually are less likely to have high levels of mortgage debt. These findings suggest several pathways to reduce older adults’ indebtedness and improve their financial well-being.
Bring your lunch, dessert provided.