Sooner or Later?

By delaying taking a Reverse Mortgage you could be losing thousands in benefits and years in retirement plan survival rates A recent article in the Journal of Financial Planning studied the benefits of taking a Reverse Mortgage Line of Credit out early in retirement rather than as a last resort. The article confirmed that utilizing a Reverse Mortgage early in retirement has tremendous benefit in prolonging retirement plan survival rates in comparison with utilizing a Reverse later or as a last resort. There are numerous factors pointing to the benefit of establishing a Reverse Mortgage Line of Credit early. Two of the most obvious are; the low interests rates available today and the power of the credit line growth rate. We are in a low interest rate market right now, allowing for the maximum benefit to be realized by borrowers. An increase in the bond market can have a profoundly negative effect on the amount available to the borrower. I recently pointed out to a potential borrower that his available line of credit would decrease by $30,000 with an increase of just 0.5% in the 10 year treasury, $60,000 with an increase of just 1%.* Janet Yellen has announced a tapering of the the Fed's bond buying program. That coupled with our national debt points to increases in interest and bond rates. The other factor is the Line of Credit growth rate. A Reverse Mortgage Line of Credit grows in "availability" at a rate 1.25% higher than the interest rate on the loan. This growth is guaranteed and can be a tremendous protection for interest rate increases as well as property value decreases. I would be happy to evaluate a scenario and give you specific numbers. The JFP article concludes with this quote: Early establishment of an HECM line of credit in the current low interest rate environment is shown to consistently provide higher 30-year survival rates than those shown for the last resort strategies. Read the full article at this link: HECM Reverse Mortgages: Now or Last Resort? Call today to see if a Reverse Mortgage is a suitable option for you! 1-800-497-5235 Other RM Line of Credit Benefits . Ability to borrow at any time. If a need comes up you can borrow money from the Line of Credit. Ability to borrow large amounts. No need to be re-approved the money is available, tax-free. Hedge against home value decline. If your home's value goes down a traditional HELOC can be frozen or cancelled, a reverse is guaranteed. Hedge against interest rates rising. If interest rates rise so does the growth in the LOC. Hedge against market volitility If your IRA or 401K tanks with the market the line of credit can meet needs until it rebounds. The security of a government insured Line of Credit. If the bank fails or the economy crashes the LOC is still available and guaranteed even if the line is higher than the home's value. Bob Tranchell Director of Reverse Mortgages My professional career has always centered on improving the lives of those I come in contact with. I spent 18 years in the ministry-many of them overseas in third world countries. I have been instrumental in building orphanages as well as programs serving orphans and seniors. Being Director of Reverse Mortgages has allowed me to stay in the service industry. I have a passion for my work because I have seen time and time again how home equity management allows my clients the quality of life, security, and stability they deserve. If you or someone you know wishes to explore mortgage options - reverse or traditional - as a tool for providing financial security, please contact me and we can set up a meeting. It is my pleasure to serve you and those you care about. Sincerely, Bob Tranchell Director of Reverse Mortgages Senior Mortgage Banker Phone: 800-497-5235| Fax: 508-445-0090 Cell: 508-367-5731 NMLS ID: 286716 The New HECM My Information rtranchell@totalmortgage.com In This Issue Journal of Financial Planning Benefits of the RM LOC Bob Tranchell DIrector CONTACT ME Call me at 1-800-497-5235 e-mail me rtranchell@totalmortgage.com THENEWHECM.COM TESTIMONIES CLICK HERE THE NEW HECM BLOG Reverse Mortgage Introduction RM FAQs RM Myths The Process The History of Reverse Mortgages Special Info for Adult Children Special Info for Advisors Government Guarantee Reverse Mortgage Calculator Get a Quote Stay Connected Total Mortgage Services LLC | 800-497-5235 | rtranchell@totalmortgage.com | http://www.thenewhecm.com/ 185 Plains Rd NMLS #2764 Milford, CT 06461 *The rates and fees in the materials are estimates. The actual growth rate, interest rate, and cost of the loan may differ due to many factors, including but not limited to, actual market rates and changes, home value, home value appreciation or depreciation, closing costs, consumer's mortgage liens,amount drawn at closing, consumer's use of the loan proceeds (consumption rate) and pre-payment(s) of the loan balance.