The CFPB Reports Mortgage Debt Key Factor in Increasing Levels of Debt Among Older Americans

The Consumer Financial Protection Bureau has been tracking the increasing levels of debt among older Americans. They found that older homeowners are now carrying more mortgage debt than ever before. For many of the roughly 4.4 million retired homeowners with mortgages, making monthly mortgage payments on a fixed income on top of other monthly expenses is a hardship. They also found...

 

  • In general, older consumers carry more debt, including mortgage, credit card, and even student loan debt, into their retirement years than in previous decades.
  • Mortgage debt, the largest debt that older consumers carry, is the key driver of this trend. Today, compared to a decade ago, fewer older homeowners own their home outright.
  • Today, fewer older homeowners own their homes free and clear. The share of homeowners with a mortgage increased from 22 to 30 percent between 2001 and 2011. 
  • The total median value of the mortgage debt also increased from approximately $43,400 to $79,000. 

America Saves believes that, with the proper preparation, homeownership can still help individuals build wealth. We have a number of resources to help you save successfully for a home:

If you do find that you have too much debt and are having trouble paying bills visit our Debt section to learn how to get out of debt and where to get help.

If you are saving for a home or want to pay down your debt don’t forget to take the America Saves Pledge and choose to receive emails and/or text messages to help you save.

Take the Pledge

I pledge to save money, reduce debt, and build wealth over time. I will encourage my family and friends to do the same

Take the America Saves Pledge

Tip of the Day

  • Written by Administrator2 | January 13, 2014

    Never purchase expensive items on impulse. Think over each expensive purchase for at least 24 hours. Acting on this principle will mean you have far fewer regrets about impulse purchases, and far more money for emergency savings. http://ow.ly/sj972

Saver Stories View all »

Coping with a Lost Job

Written by Katie Bryan | October 28, 2013

Aimee Shaffer worked as a Public Service News Director for radio for years until one day her employer downsized the company, resulting in hundreds of lost jobs, including Aimee’s.

Read more...

Inspired to Build Savings By Starting Small

Written by Great Lakes Michigan Saves | April 19, 2016

With little-to-no money in the bank and living on a limited income with her adult daughter, Sharon wasn’t sure if building up savings for her future was even possible. “At my age, to put debts behind me would be a relief,” she said, but she wasn’t quite sure how to even get started with a savings plan. That all changed when Sharon attended the Great Lakes Michigan Saves Pay Yourself First Saver’s Summit during America Saves Week.

Read more...

Getting Out of Debt

Written by Katie Bryan | October 28, 2013

In 2004, Tonya Shelton was facing financial ruin. Barely making more than minimum wage and having lost her home to an unexpected family crisis, Shelton and her family were forced to live in a rundown hotel.

Read more...

Receive Updates

Sign up for Texts

Written by Tammy G. Bruzon | July 15, 2014

Sign Up

Sign up for Emails

Written by Super User | September 16, 2013

Get Emails

Take the Pledge

Written by Super User | September 16, 2013

Start Saving