Why You Should Include Reverse Mortgages In Your 2022 Business Plan
As an added incentive to start taking advantage of HomeEquity Bank’s reverse mortgage products with your clients, we’ve also extended our Boost Broker Commission promotion. This means you can earn 175 basis points on new trades from January 1 to March 31 with initial draws of $ 250,000 + that are funded by April 15, 2022.
Offering reverse mortgages is just another way to make your business a one stop shop – making sure you have a full circle of care available to clients in so many age groups, financial circumstances and backgrounds. types of property purchase as possible.
After all, the best way to continue to grow your mortgage business is to diversify your offerings from reverse mortgages to alternative / private loans and commercial finance.
HomeEquity Bank offers a full line of reverse mortgage products to help your clients, including:
- CHIP reverse mortgage – Ideal for clients 55 and over who want to take advantage of their home equity and receive up to 55% of their home value. Unlike a regular loan or mortgage, with a CHIP reverse mortgage, your clients don’t have to make regular mortgage payments. The loan is only repaid when the owners no longer live in the accommodation. The money received is tax free and can be used as the owner wishes, including: paying off debts; handling charges; help children or grandchildren; improving daily living standards; and make a special trip or purchase.
- Income advantage – If your clients want to take advantage of monthly or quarterly advances, Income Advantage is the product for them. Unlike a regular loan or mortgage, with Income Advantage they don’t have to make regular mortgage payments. The loan is only repaid when the owners no longer live in the accommodation. With the convenience of regular advances, your customers can: Receive additional income; preserve investment portfolios longer; and lower long-term taxes payable (we always recommend that they consult their accountant / financial advisor for more details).
- CHIP Max – This product is designed to give your clients approaching the age limit of 55 access to more of their home equity. Unlike a regular loan or mortgage, with a CHIP Max Reverse Mortgage, your clients don’t have to make regular mortgage payments. The loan is only repaid when the owners no longer live in the accommodation. CHIP Max is ideal for helping clients: repay their debts; access cash for unforeseen expenses; maintain their lifestyle in retirement; and deliver more long-term value.
- CHIP Open – This product is designed for customers looking for a short-term financing solution, such as bridge financing, raising funds for renovations while preparing to sell their home, or offering down payments to loved ones without any prepayment penalty for full payments. Unlike a conventional mortgage, CHIP Open does not require regular monthly mortgage payments and offers your clients the option to convert to a CHIP reverse mortgage if they need a longer term loan solution. With CHIP Open, your clients can also: obtain the capital to seize a present opportunity; pay off debts; and manage unforeseen expenses.
With any reverse mortgage product, the loan is secured against the value of the home. This is why homeowners are required to keep the property in good repair and stay up to date with property taxes and home insurance.