utilizing home equity in retirement planning with reverse mortgages

By: Maggie O’Connell www.maggieoconnell.com

800-489-0986The Federal Savings Bank

Reversing Conventional Wisdom in Retirement

PlanningA NEW STRATEGY FOR USING HOME EQUITY

TO SUPPLEMENT RETIREMENT INCOME

http://www.maggieoconnell.com/

CHAPTER ONE

Looking at Reverse Mortgages in a New Light

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Maintain Cash Flow Throughout Retirement

Strategies to Make Your Money Last!

If you are retired or considering retirement, you’re probably concerned about running out of money or not having enough to live the lifestyle you desire. If you own a home with substantial equity, it’s time to explore how your home can be an important part of retirement planning.

The ability to draw tax free funds from home equity and let retirement savings grow, can be shown to extend your portfolio and possibly reduce your income tax burden.

Read on……..

Imagine a tax free cash flow for as long as you live in your home.

Imagine a growing line of credit as a nest egg for needs as you age.

Imagine taking vacations without worrying about money.

What is a Reverse Mortgage?• A reverse mortgage is an alternative mortgage option for homeowner’s,

age 62 or older. The key feature is NO REPAYMENT IS REQUIRED until the last remaining homeowner leaves the home permanently or the home is sold. Borrowers can receive a lump sum and get rid of mortgages and debt, have access to a credit line or receive monthly disbursements.

• A reverse mortgage loan balance increases over time and is non-recourse as the borrower or their heirs will never have to pay more than the value of the home when the loan becomes due. Owner or heirs receive any remaining equity.

• They are structured like

conventional loans. A deed of trust is recorded as the security instrument,

borrowers are responsible for property

taxes, insurance & home maintenance & homeowners always remain on title.

CHAPTER TWO

Strategies for Reverse Mortgages to Extend Retirement Portfolios

Home Equity Retirement Strategies• Reduce tax liability by drawing from tax-free home equity• Delay Social Security or pensions for larger payouts• Postpone or reduce portfolio draws allowing more time to

grow• Use increasing line of credit as a reserve to cover expenses

as you age• Purchase a more suitable home using the Reverse

Mortgage Purchase option and preserve savings.

At first, I thought a reverse mortgage wasn’t for us. But after our financial advisor suggested we consider home equity as part of our portfolio, a light bulb went on. - Mr. P. California

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CHAPTER THREE

What Are Financial Experts Saying About

Home Equity Conversion?

A Recent Study from the Journal of Financial Planning by Dr. Barry H. Sacks and Dr. Stephen R Sacks paints an entire new picture of

the use of home equity to extend retirement portfolios.

Following is a summary of the Study

Click the link for the complete study:Reversing the Conventional Wisdom: Using Home Equity

to Supplement Retirement Income

http://www.fpanet.org/journal/reversingtheconventionalwisdom/

http://www.fpanet.org/journal/reversingtheconventionalwisdom/

TALK TO YOUR FINANCIAL PLANNER OR CPA ABOUT HOW TO MAXIMIZE YOUR ASSETS!

VISIT MY WEBSITE OR CALLTO LEARN MORE!

Explore the Possibilities… I’ll be your guide:Maggie O’Connell, HECM & Jumbo

Reverse Mortgage Specialist 800-489-0986

NMLS #279499

[email protected]

utilizing home equity in retirement planning with reverse mortgages

Economy & Finance