Reverse Scenario Examples

Scenario #1 Eliminate Mortgage

  • Bill 66 Joan 64. Retire in 3-4 Years
  • Qualified Funds $500,000 Non-Qualified Funds $400,000
  • $290,000 Mortgage 26 Years Remaining. $2,700 Monthly
  • Home Value $800,000
  • HECM Eliminates Mortgage
  • Annual Savings $32,400
  • Investing Could Mean an Additional $400,000 after 10 Years

Scenario #2

  • Client Has $1,000,000 in 401K
  • $4,500 monthly Social Security and Pension
  • Establish $250k Line Of Credit at 65
  • LOC at 85 Worth $750 K
  • LOC Grew 5%-6% Annually
  • The LOC Continues to Grow Even If The Home Value Goes Down
  • LOC Funds can be Accessed Tax Free and does not need to be repaid with monthly payments. No other product can do this

Scenario #3 Delay taking qualified funds and purchase second home.

  • Jim 64 Earns $350k Year. Retire When 70
  • $1.3 MM Portfolio
  • Home Worth $900k. No Mortgage
  • Buy Retirement Condo in WA $250K
  • Pulling From Portfolio Would Require $400k
  • Take $250k HECM
  • Portfolio remained untouched . Est Growth $120K

Scenario #4 Reverse For Purchase. Generate More Liquid Reserves

  • Nancy 70 years old  still working
  • Home worth $1,500,000 Mortgage $700,000
  • $700k Qualified Portfolio Sells Home and has $700k
  • Buys home for $650k near daughter
  • With HECM for purchase had to put down $312K
  • $388K available to invest

Scenario #5 Homesafe Jumbo Reverse

  • Lois 85 years 0ld does not want to move
  • $6,000,000 home.
  • $1,800,000 LOC Balance. $9,000 month interest payment
  • Homesafe Reverse $2,000,000. No monthly payments
  • Establish $1,400,000 LOC

Scenario #6 Homesafe Jumbo Reverse

  • Ray and Barbara 66 and 68
  • $3,000,000 Home
  • $2,500,000 Qualified Funds. $1,500,000 Non
  • Want to give Daughter House Down Payment $400,000
  • Homesafe Reverse $870,000. $400,000 Initial Draw
  • $470,000 LOC grows