There’s no denying the fact that buying a home is one of the most expensive undertakings a person or couple will make in their lifetimes. But it’s one that comes with benefits that go beyond owning a dwelling. It’s a place to make memories, raise children, spend decades in, and use as a centralized location with which to live life. But one thing that is on many homeowners’ minds is, “What happens if I pass away before the mortgage is paid off?” It’s a legitimate concern that adds a layer of stress to paying the mortgage every month. One option is to get mortgage life insurance, but that may not be enough.
Mortgage life insurance is beneficial in that it pays off the balance of the mortgage in the event one spouse has an untimely death. But that’s all it does. It won’t provide extra money to the family, so they can have less financial stress as they recover from the loss of income. It’s true that freeing up the money from the mortgage payment leaves more money to pay other debts, but it’s not a guarantee. Term life insurance is a better option as it lets the beneficiary direct the funds as they see fit, including paying off the mortgage. Selecting a generous benefit can also leave behind money for schooling, property taxes, investments, and more. It’s worth looking into term life as a way of beating the odds.
Take the quiz below to learn more about how term life has more to offer than a mortgage life insurance policy does.
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