Real Estate
Should You Add Real Estate to Your Portfolio?
We talk a lot about stocks and bonds, but we spend less time on hard assets like commodities or real estate. Investing in real estate is very similar to investing in stocks, so it requires many of the same principles as any other asset class, just with a little twist.
Read MoreAcademic Acceptance for Reverse Mortgages in Retirement Income
“Although reverse mortgages aren’t for everyone, the reluctance to consider use of reverse mortgages in the distribution phase limits the flexibility of distribution strategies.”
Read MoreImproving Retirement Income Efficiency Using Reverse Mortgages
Maintaining higher fixed costs in retirement increases exposure to sequence risk by requiring a higher withdrawal rate from remaining assets. Drawing from a reverse mortgage has the potential to mitigate this aspect of sequence risk by reducing the need for portfolio withdrawals at inopportune times.
Read MoreReplacing Your Mortgage with a Reverse Mortgage
After my recent overview of potential uses for a reverse mortgage, I want to go deeper on each item.
Read MoreWhat You Should Know About Repaying a Reverse Mortgage
Originally published at Forbes Repayment of a home equity loan balance may be deferred until the last borrower or non-borrowing spouse has died, moved, or sold the home. Prior to that time, repayments can be made voluntarily at any point to help reduce future interest due and to allow for a larger line of credit…
Read MoreChoosing Costs for a Reverse Mortgage
The discussion of reverse mortgage costs has several moving parts. Which type of cost combination to choose depends on how you plan to use the line of credit during retirement.
Read MoreSpending Options for a Reverse Mortgage
Most current HECM reverse mortgages use an adjustable interest rate, which allows the proceeds from the reverse mortgage to be taken out in any of four ways or a combination thereof.
Read MoreHow Does the Line Of Credit for a Reverse Mortgage Work?
A mortgage’s effective rate is applied not just to the loan balance, but also to the overall principal limit, which grows throughout the duration of the loan.
Read MoreUpfront Costs of Opening a Reverse Mortgage
Upfront costs for reverse mortgages come in three categories.
Read MoreEligibility Requirements for a Reverse Mortgage
The requirements to become an eligible HECM borrower are numerous. Do you qualify?
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