With the current retirement income crisis facing baby boomers and existing retirees, today’s assets mangers, insurance agents and hybrid advisors need every viable resource to help their clients and sustain their practice. In Housing Wealth, American College instructor and reverse mortgage expert, Don Graves, distills more than 20,000 advisor/client engagements over two decades into practical, back-of-the-napkin, common sense strategies. Through simple case studies and easily applied concepts, the advisor will learn how today’s reverse mortgage can:
- Increase Clients’ Cash Flow and Preserve Assets from Premature Erosion
- Reduce the Most Common Risks to Retirement Income
- Optimize Retirement Outcomes for the Mass Affluent
- Improve Liquidity and Add New Dollars to Retirement Savings
- Help Advisors Create More Planning Opportunities from Existing Clients and Gain Access to New Ones
- Manage Tax Brackets and Keep Clients within Lower Adjusted Gross Income Boundaries
SECTION 1: THE CHANGING RETIREMENT INCOME LANDSCAPE
CHAPTER 1: Discovering the Hidden Potential of Housing Wealth
Home equity means nothing unless it can be unlocked. Discover five surprising and strategic ways Housing Wealth is changing the planning conversation and giving advisors opportunities they never knew existed.
CHAPTER 2: Eight Reasons Advisors Are Paying Closer Attention
A global retirement income crisis has emerged, and with more than $6 trillion in senior home equity, advisors are discovering this: If housing wealth is not being incorporated into their planning conversations, they might be missing out on the single greatest opportunity to grow their practice.
CHAPTER 3: Mick Jagger, Michelle Obama, and Donald Trump: The Face of Today’s Retirement
With the current challenges facing baby boomers, how do reverse mortgages and retirement savings work together with traditional planning tools to enhance retirement outcomes and client satisfaction? The Parable of the Last Mile covered in this chapter may really surprise advisors.
CHAPTER 4: The Five Most Important Conversations Advisors Should Have with Their Clients
Discover the five powerful, thought-provoking, laser-focused questions designed to reveal your clients’ expectations, concerns and openness to change. These questions serve as the building blocks for the all the case studies in section 3.
SECTION 2: THE NEW REVERSE MORTGAGE
CHAPTER 5: Four Words that Instantly Ease Reverse Mortgage Concerns (Understanding the Basics)
Learn the four simple words helping advisors and their clients dispel confusion and break the stigma of reverse mortgages. Master the basics of the program and explore the myths versus realities.
CHAPTER 6: The Eighth Wonder of the Financial World
What if you told your client that they could convert a portion of their home’s value into a reserve fund that has a built-in, guaranteed, tax-free minimum growth factor, can’t be frozen, cancelled, or reduced? And it can be accessed at any time in the future, regardless of their home’s value or their income, assets, or credit. What would they say?
CHAPTER 7: Bridging the Gap – The Power of a HECM Term or Tenure Payment
Upon retiring, most seniors rely on fixed monthly income to meet their living essentials; they’re used to these predicable payments. The HECM can be structured to provide monthly income for as long as they live in the home, or for a shorter duration to meet an income need for a specific period of time.
CHAPTER 8: Is There an Optimal Time to Establish a ReLOC?
Are reverse mortgages a product of last resort or a responsible resource to be incorporated into a comprehensive retirement income plan? Discover the underlying research that led FINRA to change its “reverse mortgage as a last resort” position. It’s also changing many advisors’ mindsets.
CHAPTER 9: Are Reverse Mortgages Expensive?
What are the costs of a reverse mortgage and do they make sense for your clients? The truth is they may not. There are 4 critical questions that must be answered before that determination is ultimately made.
SECTION 3: CASE STUDIES AND CONVERSATION GUIDES
CHAPTER 10: How the HECM Can Increase Savings Success Rates
Longevity, inflation, volatility and sequence are all risks that must addressed when designing a retirement plan. Housing Wealth can function as a non-correlated buffer asset to combat each of these risks and dramatically improve savings longevity.
CHAPTER 11: Paychecks and Playchecks Re-imagined
Designing a sustainable and balanced fixed income retirement plan for risk averse clients can be a challenge. Learn five ways a Housing Wealth strategy can enhance planning flexibility for an advisor.
CHAPTER 12: Create a Guilt-Free Retirement with a HECM 4326 Replacement
Most baby boomers will come into retirement with some sort of monthly loan payment. When you combine a house payment with low savings and longer life expectancy, lifestyle may need to be sacrificed for the clients to make it through retirement. See how this Housing Wealth strategy is transforming cash flow concerns for the mass affluent.
CHAPTER 13: The Advisor’s Most Neglected Planning Opportunity?
Are you maximizing every client appointment? Turning it into new opportunities and new clients? Advisors are not always in front of retirees, but they may be in front of their children, or grandchildren. Discover the 7 and 11 magic words that can lead your practice to become a multigenerational, retirement resource center.
CHAPTER 14: Turn a HECM Payment into a Million Dollar Safety Net
If there was a way to take your clients’ current mortgage payments and turn them into a million-dollar, deferred income reserve for healthcare costs and other concerns, would they want you to show them how?
CHAPTER 15: The Sleeping Giant: Finding New Retirement Savings
Discover the fastest growing use of the reverse mortgage and the only legal, ethical and compliant way to use the tool to add new, investable dollars back into savings.
CHAPTER 16: Converting Assets for a Tax-Free Retirement – The Roth IRA Conversion
Traditionally, retirees have had three tax-sensitive retirement income sources: taxable, tax-deferred and tax-free. Most have understood the benefit of converting a portion of their assets to tax-free Roth IRAs, but the challenge was always from what source would they pay the required taxes for the conversion.
CHAPTER 17: Five Ways Housing Wealth Can Create Unshakable Financial Memories
How do your clients want to be financially remembered? See how a legacy can begin today by incorporating Housing Wealth with life insurance, long term care and college planning.
CHAPTER 18: Seven HECM Strategies That Benefit Women
Social Security deferral, retirement savings optimization and amicable solutions to the “gray divorce” crisis are just three of the Housing Wealth strategies that specifically benefit women.
CHAPTER 19: Can Advisors Make Money with Housing Wealth; Legally, Ethically and Compliantly?
One advisor meets with clients and leaves with nothing. The other shares the same presentation but leaves with $50,000 in new AUM, a $100,000 policy for fixed income, a 1035 exchange for an old annuity, and a life insurance contract. Same clients, products, and presentations, but two very different results. What did the one advisor know that the other did not?
CHAPTER 20: Five Ways to Implement Housing Wealth into Your Practice
A few simple ways to incorporates Housing Wealth into your daily practice.