USING HOME AS A HAVEN IN FINANCIAL CRISIS TIMES
“Oil spike drives client calls, tests advisors’ messaging discipline”, Rob Burgess observes in Financial Planning.How true, you cannot help thinking. As a wealth management veteran, you’re spending an increasing percentage of your time reassuring clients, urging them to “stay the course” and avoid upending the careful asset allocation plan you’ve helped them put into place.
“Investor psychology is playing a powerful role in portfolio moves in 2026,” James Royal writes in MarketWise. The market environment is being shaped by volatility, shifting economic signals, and heightened emotional pressure, he adds. While naturally Concerned about promoting any product in which you lack specialized training (or becoming involved in areas not specifically covered by your own broker-dealer’s compliance,
“Financial advisors must pay attention to their client’s home equity, as this is a vital asset that can be used as part of a coordinated strategy to improve retirement outcomes,” Dr. Wade Pfau, PhD, CFA writes. The concept – a reverse mortgage line of credit can serve as a form of insurance to protect against investment losses.
Looked at as a “buffer asset”, clients’ housing wealth, often a significant element of their net worth, can become the means to their avoiding panic liquidation of investment assets, allowing homeowners to use home equity for tax-free* cash flow rather than withdrawal from their portfolios.
“Most people operate better in a predictable, stable environment than in a chaotic, uncertain one, “Morey Stettner observes in MarketWatch.”This is not an easy time for advisers because many norms of investing and economics appear to be blowing up.”
Undoubtedly, you tell yourself, these issues will blow over, not blow up. Meanwhile, though, clients’ homes can be havens in financial crisis times.
https://mutualreverse.com/david-garrison
*Please consult a tax advisor.
David Garrison, NMLS ID 1595194. Mutual of Omaha Mortgage, Inc. dba Mutual of Omaha Reverse Mortgage, NMLS ID 1025894. 3131 Camino Del Rio N 1100, San Diego, CA 92108. Indiana-DFI Mortgage Lending License 43321. Michigan 1st Mortgage Broker/Lender/Servicer Registrant FR0022702. These materials are not from HUD or FHA and the document was not approved by HUD, FHA or any Government Agency. Subject to credit approval. For licensing information, go to: www.nmlsconsumeraccess.org
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