Buy an investment property with proceeds from a Reverse Mortgage Refinance
Knowing the basics about Reverse Mortgages well enough to initiate different conversations and introduce new ideas can be a big competitive advantage for you and create more sales. A perfect example of this is showing how senior clients can buy an investment property with proceeds from a Reverse Mortgage refinance. A detailed description of how buying a second home that would be the same if the home is a rent generating investment property is at Reverse Refi and buy a second home.
Proactively share this idea and if you get initial interest find out what goals your client has in terms of where they would buy the investment, how much rent they'd want to generate for retirement and, most importantly, how important would the rental income be to them. If your clients are on a fixed income and having trouble scrapping by each month, a second home not only provides income but also offers the potential for appreciation. You can also share with them your knowledge about 1031 exchanges from the Phil Atwan podcast as a strategy to create income, defer taxes when improving investments and how they can pass on an investment property to their kids.
Seniors are bombarded with mailed information and television commercials pitching Reverse Mortgage refinance. If you're a trusted resource your senior prospects may share with you the notion of buying a second home with a Reverse Refinance. They may have researched and thought and talked about it but are hesitant to move forward. With an understanding and appreciation for buying a second home with proceeds from a Reverse Refinance you can help them "cut through the noise" about reverse mortgages and enable them to evaluate decide if this is the right move for them.
You can learn how to deal with the four most common objections to Reverse Mortgages at videos and listen to an agent who has run into objections at a podcast with Olga Kirkland.
By introducing the idea of leveraging the equity your clients have in their primary residence to purchase a second without creating a monthly mortgage obligation you may tap into something they've been thinking about or dreaming about and create a sale for an investment home and additional commissions for you in the process.
