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CNN Live At Daybreak

Many Homeowners Age 65 Still Paying Mortgages

Aired November 10, 2003 - 06:46   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


CAROL COSTELLO, CNN ANCHOR: Time for a little 'Business Buzz' right now. For many, the golden years are losing their glimmer.
Carrie Lee has the story live from the Nasdaq market site.

Good morning -- Carrie.

CARRIE LEE, CNN FINANCIAL NEWS CORRESPONDENT: Good morning, Carol.

Well, more and more seniors in this country are carrying mortgage debt. This is what a new poll from "USA Today" shows. An analysis of census data shows that 28.3 percent of homeowners age 65 or older owe money on their homes. That's an increase from 20.7 percent in 1990 and 18.9 percent in 1980.

Now their growing reliance on mortgage debt is part of a broader trend. A couple of reasons for the increase. No. 1, necessity, today's seniors, or quite a few of them, have delayed savings because they have raised a generation of a lot of college graduates. More college grads in their children's generation than any other. Also, attitudes, as the Great Depression fades, memories of it, so do the anti-debt views of those who survived it. And then finally, mortgages have become more attractive because of low interest rates recently and some tax law changes in the 1980s. So all of this part of a broader trend. However, seniors are still the most likely group to own their homes outright, but more and more carrying mortgages these days.

Carol, back to you.

COSTELLO: Can you imagine what it's going to be like in the future as baby boomers continue to age and you know, most of them -- well not most, those lucky enough have those huge homes.

LEE: And those very large mortgages. And when interest rates start to go up, it will be -- it will be an interesting trend to see. But so far, people still buying homes and keeping those prices up.

COSTELLO: All right, Carrie Lee reporting live from the Nasdaq market site this morning.

TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com







Aired November 10, 2003 - 06:46   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL COSTELLO, CNN ANCHOR: Time for a little 'Business Buzz' right now. For many, the golden years are losing their glimmer.
Carrie Lee has the story live from the Nasdaq market site.

Good morning -- Carrie.

CARRIE LEE, CNN FINANCIAL NEWS CORRESPONDENT: Good morning, Carol.

Well, more and more seniors in this country are carrying mortgage debt. This is what a new poll from "USA Today" shows. An analysis of census data shows that 28.3 percent of homeowners age 65 or older owe money on their homes. That's an increase from 20.7 percent in 1990 and 18.9 percent in 1980.

Now their growing reliance on mortgage debt is part of a broader trend. A couple of reasons for the increase. No. 1, necessity, today's seniors, or quite a few of them, have delayed savings because they have raised a generation of a lot of college graduates. More college grads in their children's generation than any other. Also, attitudes, as the Great Depression fades, memories of it, so do the anti-debt views of those who survived it. And then finally, mortgages have become more attractive because of low interest rates recently and some tax law changes in the 1980s. So all of this part of a broader trend. However, seniors are still the most likely group to own their homes outright, but more and more carrying mortgages these days.

Carol, back to you.

COSTELLO: Can you imagine what it's going to be like in the future as baby boomers continue to age and you know, most of them -- well not most, those lucky enough have those huge homes.

LEE: And those very large mortgages. And when interest rates start to go up, it will be -- it will be an interesting trend to see. But so far, people still buying homes and keeping those prices up.

COSTELLO: All right, Carrie Lee reporting live from the Nasdaq market site this morning.

TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com