Shifting Into Reverse Blog
#194: After age 62, consider housing wealth as line of first resort
FOR THOSE OVER AGE 62, A FIFTH OPTION MIGHT PROVE MOST FEASIBLE In Kiplinger Personal Finance magazine, financial planner Mario Hernandez recalls a conversation he had with a client who was looking to fund the construction of a swimming pool at his house. The client had enough cash to pay for the project, but had […]
#193: Using housing wealth to take over from Rule of 55 withdrawal plan
RULE OF 55 NOW, REVERSE MORTGAGE LATER Now 57, you’re planning to take early retirement from your current full-time position in order to be more available to help your parents, who need assistance getting to doctors’ appointments and with managing their affairs. You may or may not find yourself able to take on some temporary […]
#192: Using housing wealth to realize second home dream
ACQUIRING A SECOND HOME NEED NOT BE A NIGHTMARE “For some clients, a second home might sound like an impossible dream. But advisors warn that the maintenance, tax bills, and insurance headaches (if you can even get insurance) can easily turn the reverie into a nightmare,” Ben Mattlin cautions in Financial Advisor Magazine. On the […]
#191: Using home equity to become a real estate investor
FROM HOMEOWNER TO HOMEOWNER-INVESTOR You’ve long understood the wealth-building power of real estate, but, until recently, the demands of family and career have made becoming an investor a non-feasible proposition. Now retired and “born again single”, you are considering buying and renting out (initially one, eventually a couple of other) modest residential properties in […]
#190: Using home equity to reconfigure living quarters for Mom and new spouse
HOUSING WEALTH HELPS MOM MAKE A NEW START You and your sister have been told by your 72-year-old mother that she has met the man with whom she intends to “finish out her days”. While you’re very happy for her, you want to be sure she protects her own finances and property. Each of you […]
#189: Using home ownership to help 3rd generation become homeowners
HELPING YOUNG’UNS BECOME HOMEOWNERS You have always made clear to your children that, once you’d helped them get through four years of college, they would be expected to take full charge of their own financial futures. Apparently, your one grandchild was raised with the same expectation. In a recent discussion, though (much to your consternation), […]
#188 Using a reverse mortgage as part of a charitable giving plan
HOUSING WEALTH PROVIDES BALLAST FOR CHARITABLE TRUST Now that retirement has become a reality for both of you, you feel blessed to have been able to devote more time to charitable projects, in particular those that relate to medical care for impoverished people around the globe. As part of the process of preparing to retire, […]
#187: Using a reverse mortgage to start online sales training center
HOME EQUITY ENABLES FROM-HOME BUSINESS At age 63 and recently retired from a long-time, top-level corporate sales training position, you’re looking forward to having greater control over your own time. An idle existence, on the other hand, would never be to your liking, and the plan is to develop an online sales training business offering […]
#186: Using a reverse mortgage to reduce tax on Social Security benefits
APRIL 15 STARK REMINDER FOR RECENT RETIREES After retiring at the end of 2022 (at the age of 67), you began collecting Social Security benefits in 2023. Your wife retired at the end of last year, but she is not quite of age to qualify for a full benefit. Your plan was to wait until […]