Americans like to earn interest on their money with the least amount of risk. Yet, every day we put our money in stocks, bonds, mutual funds through our 401k, IRA’s and retirement plans. That money is at risk. We hope and pray it goes up, and historically, it usually does.
For most people, their equity is locked up and earning 0% interest. You could say that many American homeowners have their home equity at risk in the market. Remember the Real Estate correction of 2008-9? People lost 15-20% of their home equity.
The main goal in retirement is to maximize home equity and reduce risks. When you can reduce risk, you are less subject to the volatility of the market, see 2008. Further, you can feel at ease and know that your assets are protected and not at risk.
Bottom line: you’re not going to be exposed in retirement.
For Senior homeowners, they have the option to put a portion of their home equity to work for them and earn 3-5% compound interest. And if we experience another real estate correction, that equity is protected. A reverse mortgage is kind of like having home equity insurance in that regard. So, if you’re ready to learn more, let’s sit down and visit.
