Financial Advisors

Why Financial Advisors are Reconsidering Reverse Mortgages

A reverse mortgage could help your clients age 62 and older to effectively leverage an important retirement asset: home equity. Thanks to recent academic research that demonstrates the value of FHA-insured* Home Equity Conversion Mortgages (HECMs), reverse mortgages are gaining acceptance as a valuable and effective tool to help satisfy the challenges of meeting retirement goals for decades.

Design Solutions for Your Clients

With its flexible payment options, a reverse mortgage can give borrowers more financial control and can serve as an excellent risk management tool, while keeping productive assets under your management — helping their portfolios last longer. As a tax-efficient strategy, clients can use a reverse mortgage to reduce their income taxes1 by lowering their withdrawals from qualified accounts. Other uses include refinancing aconventional mortgage with a HECM, so as to eliminate a client's monthly principal and interest payment. As with any home-secured loan, the borrower must meet their loan obligations, keeping current with property taxes, insurance, maintenance, and any homeowners association fees. Or perhaps using a HECM to finance the purchase of a home, thereby reducing the amount of cash older clients have to "put down" when downsizing.

HECM Credit Line: A Unique Safety Net Offering a Growth Feature and Flexible Repayment

Clients can establish a HECM credit line and draw on it as needed for future expenses, such as health care costs. A unique feature of the HECM credit line is the amount available to clients will grow2monthly, independent of any change in home value. This feature provides additional available cash in future years that may prove valuable as clients savings are depleted.

Unused Line of Credit Growth

The information being shown is for illustrative purposes only. 
 

To see the pros and cons of a Reverse Mortgage Line of Credit vs. a traditional Home Equity Line of Credit (HELOC), click here.

To learn more, please contact me.

Larry McAnarney
HECM Loan Specialist, NMLS #21059
Call 815-703-4745 | lmcanarney@reversefunding.com

Branch NMLS # 1404799
700 Commerce Drive, Suite 5055
Oak Brook, IL 60523

Not tax advice. Consult a tax professional.
If part of your loan is held in a line of credit upon which you may draw, then the unused portion of the line of credit will grow in size each month. The growth rate is equal to the sum of the interest rate plus the annual mortgage insurance premium rate being charged on your loan.
L1467-Exp112018
 

 

Verified Reviews

(78)

I Trust Larry I was very happy I chose Larry to help me with this loan. He was very helpful and answered all my questions. He answered all my concerns and I trusted him. I would recommend him to any one who needs or wants a reverse mortgage loan. I can call him anytime if I need to and I know he will answer my call.

Dorothy B — May 14, 2015

Larry is a Nice Man Larry is a very nice man, answered all our questions. Everything went great.

Joyce S. — Jan 17, 2019

Many Thanks! We were hesitant about a reverse mortgage but our financial planner referred Larry McAnarney to us. So glad he did! Larry is very personable and professional. He explained everything to us and made sure we completely understood it all. Anyone would surely benefit by having Larry to consult with on a reverse mortgage. Larry, many thanks for all your help and peace of mind! Many Thanks!

Lee & Jeanette P — Aug 17, 2017

Read More Reviews
memberships

This material has not been reviewed, approved or issued by HUD, FHA or any government agency. The company is not affiliated with or acting on behalf of or at the direction of HUD/FHA or any other government agency.

© 2019 Reverse Mortgage Funding LLC, 1455 Broad St., 2nd Floor, Bloomfield, NJ 07003, 1-888-494-0882. Legal approval #L976-Exp042018, Company NMLS ID # 1019941. For licensing information go to www.nmlsconsumeraccess.org/?EntityDetails.aspx/?COMPANY/1019941
For additional licensing and disclosures please visit https://www.reversefunding.com     Where we lend    Terms of Use     Privacy

Arizona Mortgage Banker License #0927682; Georgia Residential Mortgage Licensee No. 36793, Originator License No. 40299; Kansas Originator License LO.0001032; Licensed by the New Jersey Department of Banking and Insurance; Licensed by the Department of Business Oversight under the California Residential Mortgage Lending Act; Loans made or arranged pursuant to a California Financing Law license; Texas Mortgage Banker Registration in-state branch address 6044 Gateway East, Suite 236, El Paso, TX 79905 (Branch NMLS 1244676); Not intended for Hawaii and New York consumers.