The reverse mortgage market got some new respect earlier this year. When it looked like…
Continue readingPodcast #630: How the pandemic is leading more planners to the reverse mortgage
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Show Summary
More financial planners are giving reverse mortgages a serious look as the coronavirus pandemic wreaks havoc with retirees portfolios.
Other Stories:
- Trial of former CEO delayed by COVID-19
- NAIFA forms an educational partnership with reverse lender
Huff Post: HECMs Can Save Retirement
One Seasoned Financial Advisor Says HECM Can Save Retirement
The reverse mortgage industry continues to push against the headwinds of dwindling loan volume and increased regulation, yet there remains a silver lining: increased acceptance in the financial planning community. Robert Mauterstock is just such an advisor. With 35 years experience as a financial advisor Mauterstock recently penned a column in the Huffington Post outlining both the benefits of the HECM and the reasons behind his change of heart.
If you’ve been putting off reaching out to financial professionals in your city, then procrastinate no longer. Mauterstock did not recommend reverse mortgages until he met with a knowledgeable reverse mortgage professional. “…recently I met with Bob Tranchell, a senior VP at the Federal Savings Bank. He explained to me…
Download a transcript of this episode here.
Looking for more reverse mortgage news, commentary, and technology? Visit ReverseFocus.com today
Baby Boomer Equity Should Be Considered
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Baby Boomer’s Wealth is in Their Home
The new expanded definition of a fiduciary for financial advisers could expand the required discussion of assets to be considered in a comprehensive retirement strategy. Good news considering the fact that the baby boomer generation is largely unprepared for retirement. In last week’s episode we discussed the recent ruling by the Department of Labor expanding the definition of a fiduciary to include those who give investment advice on more common retirement accounts such as IRAs. Soon red flags could be raised for financial professionals who fail to look at home equity when advising their clients.
A recent article in Investment News by Jamie Hopkins explores the implications of the new fiduciary standard. Hopkins says “an expanded fiduciary standard for financial advisers will put pressure on a variety of areas in the retirement income-planning profession.” The expanded fiduciary standard may seem overreaching to some financial professional trade groups but it could help protect baby boomers from receiving incomplete advise which could cost them dearly financially or in lost opportunities.
Consider the three sources of wealth…
Download a transcript of this episode here.
Looking for more reverse mortgage news, commentary and technology? Visit ReverseFocus.com today.
The Year of the Financial Advisor?
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Slow & Steady Growth Depends on Partnering with Financial Professionals
Since the housing and economic crash of 2008 our industry has had its collective eye focused on the horizon seeking for signs of a significant rebound in reverse mortgage volume. Despite earlier predictions we have come to realize that the growth of the Home Equity Conversion Mortgage will be slow and steady. With this realistic view in mind more lenders and brokers are seeing the value in partnering with financial professionals.
While the return to annual HECM endorsement volumes exceeding 100,000 units may be some years away future growth may be fueled by increasing acceptance by the financial planning community. Several factors have contributed to the increasing acceptance of the reverse mortgage in the media and by financial professionals alike: consumer safeguards, reduced costs, the rediscovery of the HECM line of credit and recent studies illustrating the benefits of incorporating the loan into modern retirement planning. The tide has begun to turn when it comes to the acceptance of a long misunderstood and maligned loan.
“There are several signs in the air that the world is starting to get a little different,” said Tom Davison
Download a transcript of this episode here.
Looking for more reverse mortgage news, commentary and technology? Visit ReverseFocus.com today.