Using a Reverse Mortgage for Investments
May 25, 2011 · Print This Article
You didn’t get to retirement without doing a little investing. Sometimes, you see opportunities that other, less trained eyes may not recognize as a great potential investment, and you want to jump on it when you do. But if you are retired, you do not have the disposable income that you once did for investing.
With a reverse mortgage from Horizon Equity, you can use the funds from your home to make even more money. In fact, with a sound investment opportunity, a reverse mortgage is often the most financially stable option for an investment loan, given our low interest rates.
Take advantage of market opportunities
Many industry and commodity stocks are undervalued due to world events, political pressure, and for a million other reasons. Warren Buffet says that you make money on the stock market when no one else is buying, and the current economy is full of these opportunities.
Help a family member start a business
If a trusted family member is starting a valid business, you can become a silent or not-so-silent partner with funds from a reverse mortgage. Just make sure that a legal agreement is in place to protect you should any aspect of the business go sour.
Watch out for bad investments
There are situations in which you should not consider investing. If someone is trying to “hard sell” you on a stock or an investment opportunity, be very wary. There are many organizations that make their money off of people who have large nest eggs to draw on, people like you. These groups will often hold seminars that almost feel like prayer rallies rather than business meetings to get people psyched about the opportunity.
Get professional financial advice before investing
Your Horizon Equity reverse mortgage representative will likely be linked in with financial professionals that can help give you a sober second opinion on an investment opportunity. While many financial advisors will charge a fee to look at your situation, it will often be low and is necessary to protect your financial wellbeing. Since a reverse mortgage requires a lawyer’s approval, running the opportunity by your lawyer at the same time isn’t a bad idea either. Protect your family by not getting caught up in an investment scheme.
Contact Horizon Equity today to get the process for freeing up investment funds started, and let your home make money for you.