Posts filtered by tags: Wade Pfau[x]


 

Funding Longevity Task Force Gets New Name and Home, Adds Karin Hill

The organization previously known as the Funding Longevity Task Force, which had recently moved out of the American College of Financial Services, has found a new home with the University of Illinois at Urbana-Champaign (UIUC), along with a new identity created to more closely align with the academic nature of its mission. The organization, now known as the Academy of Home Equity in Financial Planning, announced its new home and name change during the InvestmentNews Retirement Income Summit h...
Tags: Featured, Education, Finance, America, Chicago, Hud, Academy, Hopkins, University Of Illinois, American College, UIUC, Giordano, HECM, Longbridge, Shelley Giordano, Jamie Hopkins


Financial Advisor: Don’t Ignore Reverse Mortgages

Although they can often be a tough sell, reverse mortgages can likely help financial clients who find themselves running out of money in retirement. This is according to an article appearing in Financial Advisor by writer Dan Jamieson. Home equity can be tapped for a number of reasons, including to pay off existing mortgages, mitigate sequence-of-return risks and bolster retirement plans that might otherwise be at risk of a shortfall in available funds, according to Dr. Wade Pfau, professor o...
Tags: Featured, Finance, Financial Advisor, Mayer, Jamieson, FPA, La Jolla Calif, Longbridge, Longbridge Financial, Wade Pfau, Pfau, American College of Financial Services, Chris Mayer, Dan Jamieson, The American College of Financial Services, Marketing & Sales


Forbes: Defining the Risks of a Reverse Mortgage

Some of the biggest risks inherent in a reverse mortgage transaction include the complexities of the Home Equity Conversion Mortgage (HECM) Program allowing for instances of misunderstanding, problems that can arise when someone is unable to pay, and inaccurate perceptions concerning what the loan repayment structure looks like. This is according to Dr. Wade Pfau, professor of retirement income at the American College of Financial Services, in a new piece at Forbes. “When discussing reverse-m...
Tags: Featured, Education, Finance, Forbes, FHA, CFPB, Consumer Financial Protection Bureau CFPB, HECM, Wade Pfau, Pfau, American College of Financial Services


USA Today: Reverse Mortgages are ‘Too Risky,’ Industry Expert Responds

The idea of a senior using a reverse mortgage product to fund his or her retirement is too risky a proposition, and is erroneously sold as a “financial easy button” that betrays its real status as a very complicated financial product. This is according to global investor and author Kenneth L. Fisher in a column appearing in USA Today. However, one reverse mortgage industry expert finds issues with Fisher’s stated points. “Be careful. Read the fine print,” Fisher warns. “This isn’t money you l...
Tags: Usa, Featured, Education, Finance, Usa Today, Fisher, Wade Pfau, Pfau, John Lunde, Lunde, Kenneth L Fisher


Giordano’s ‘What’s the Deal with Reverse Mortgages?’ Gets Second Edition

The reverse mortgage industry is one where the rules and realities that govern it can change on a very quick basis, and because of that, the literature that’s dedicated to telling people about it needs to change, too. This was one of the basic realities understood by Shelley Giordano, founder and chair of the Funding Longevity Task Force, and what prompted her to update and expand her book “What’s the Deal with Reverse Mortgages?” into a new, second edition after its initial release in August...
Tags: Featured, News, Education, France, Finance, United States, Texas Tech University, Giordano, HECM, Shelley Giordano, Wade Pfau, Pfau, Funding Longevity Task Force, American College of Financial Services, Barry Sacks, Calment


Pfau Debunks Reverse Mortgage Critics’ Misconceptions

When examining the totality of negative press that reverse mortgage products have to endure, many of the most persistent reputational hurdles faced by the products arise from people viewing the products themselves in isolation as opposed to a single part of a larger retirement strategy. This is according to Dr. Wade Pfau, professor of retirement income at the American College of Financial Services and principal and director at McLean Asset Management in a new article at Advisor Perspectives. ...
Tags: Featured, Education, Finance, Ira, Wade Pfau, McLean Asset Management, Pfau, American College of Financial Services


Forbes: Details on Reverse Mortgage for Purchase

The Home Equity Conversion Mortgage (HECM) for Purchase program was initially designed in such a way so that a previously more complicated process involving two mortgage transactions could be simplified, according to Dr. Wade Pfau, professor of retirement income at the American College of Financial Services, in a new piece at Forbes. “The government saw enough people using a costlier and more complicated two-step process — obtaining a traditional mortgage to purchase the home and then using a...
Tags: Featured, Education, Finance, Open, Forbes, HECM, Wade Pfau, Pfau, American College of Financial Services


A Viable Tool: One Stanford Researcher on Openness to Reverse Mortgages

At first he started to think of reverse mortgages as a tool of last resort for retirees, but Steve Vernon, FSA and consulting research scholar in the financial security division at Stanford University’s Center on Longevity, began to come around on them as a viable way for people to avoid sequence of returns risk when he absorbed the work of other retirement researchers, particularly Dr. Wade Pfau. “I thought they perhaps had a place there,” he tells RMD in a phone interview. But when the Depa...
Tags: Featured, Education, California, Finance, Stanford, Stanford University, Vernon, Department of Housing and Urban Development, Wade Pfau, Steve Vernon


Why the 4% rule doesn’t work

T he 4% rule went viral because it was billed as simple and safe (*coughs a noise that rhymes with bullwhip*). Unfortunately, the 4% rule is not safe. Nor is it simple, once you put the nuance back. The story is seductive – that you can withdraw 4% a year from your portfolio and never run out of money. This is often known as a safe withdrawal rate (SWR). Unfortunately the 4% version is about as reliable as that other withdrawal method you’ve heard of. Got a portfolio of £1 million? The 4% rule ...
Tags: Japan, UK, Germany, Marketing, US, Investing, Trinity, Reilly, McClung, Passive investing, Deaccumulation, Income Drawdown, Wade Pfau, Pfau, Kitces, SWR


The Remaining Work to Connect Financial Advisors and Reverse Mortgages

The distance between reverse mortgage originators and financial advisors is often a long one, with many advisors generally having unfavorable perspectives on reverse mortgage products in terms of their viability as a specialized tool for their clients. While recent indications have demonstrated that this is starting to change, that kind of evolution is not yet close to being finished. However, that does not mean that the road between originators and advisors is without strategies to shorten i...
Tags: Featured, Education, Finance, Chicago, FHA, Cloke, FINRA, FPA, Financial Industry Regulatory Authority FINRA, Wade Pfau, Michael Kitces, American College of Financial Services, Curtis Cloke, THRIVE Income Distribution System, Investment News Magazine, Financial Planning Association FPA


Forbes: Forward vs. Reverse Mortgages in Retirement

Using a reverse mortgage to refinance an existing mortgage will create more financial flexibility for fixed-income retirees, according to Dr. Wade Pfau, professor of retirement income at the American College of Financial Services and a member of the Funding Longevity Task Force, in a new piece at Forbes. “The general idea is that a reverse mortgage used primarily to refinance an existing mortgage creates more flexibility for distribution needs from the investment portfolio by removing a fixed...
Tags: Featured, Education, Finance, Forbes, HECM, Wade Pfau, Pfau, Funding Longevity Task Force, American College of Financial Services


Forbes: Tax Issues Surrounding Reverse Mortgage Repayment

Once a Home Equity Conversion Mortgage (HECM) comes due, there are certain options that are available to the relevant borrowing parties when repaying the loan’s balance, but they also come with their own tax implications. This is according to Dr. Wade Pfau, professor of retirement income at the American College of Financial Services and a member of the Funding Longevity Task Force, in a new piece at Forbes. “When the final repayment is due, the title for the home remains with the borrower or ...
Tags: Featured, Finance, Data, Forbes, HECM, Wade Pfau, Pfau, Funding Longevity Task Force, American College of Financial Services


Forbes: Managing Costs and Credit of a Reverse Mortgage

For prospective reverse mortgage borrowers, there are strengths and weaknesses to be found either in immediate or delayed leveraging of the line of credit, and the borrower’s decision concerning a package of costs should be a conscious part of the equation. This is according to the latest in a series of pieces at Forbes by Dr. Wade Pfau, professor of retirement income at the American College of Financial Services and a member of the Funding Longevity Task Force. When examining the benefits to...
Tags: Featured, Education, Finance, Forbes, HECM, Wade Pfau, Pfau, Funding Longevity Task Force, American College of Financial Services


Forbes: Greater Value in Opening a Reverse Mortgage Before It’s Needed

Opening a reverse mortgage earlier will allow for greater availability of credit in the future, compared with waiting to take out a reverse mortgage until further along in retirement. This is according to a new piece in Forbes by Dr. Wade Pfau, professor of retirement income at the American College of Financial Services and a member of the Funding Longevity Task Force. While the rule changes governing principal limit factors (PLFs) have negatively affected the possibility for even more growth...
Tags: Featured, Finance, Data, Forbes, Wade Pfau, Pfau, Funding Longevity Task Force, American College of Financial Services


New York Times: Volatile Stock Market Hits Retirees Hardest

A turbulent stock market is already stressful for investors, but that stress can easily increase for older investors that are on the cusp of retirement. This is according to an article in the New York Times, written by personal finance reporter Tara Siegel Bernard with contributions by Dr. Wade Pfau of the Funding Longevity Task Force at the American College of Financial Services. The activity of the market in the early days of retirement investing can have a pronounced impact on the health o...
Tags: Featured, Education, Retirement, Finance, Data, New York Times, Bernard, Wade Pfau, Pfau, Michael Kitces, Funding Longevity Task Force, American College of Financial Services, Tara Siegel Bernard, Columbia Md, Pinnacle Advisory Group


Forbes: The Upfront and Ongoing Costs of a Reverse Mortgage

Prospective reverse mortgage borrowers looking to determine if the product is right for them can find a series of new pieces offering information on the upfront costs (origination fee, mortgage insurance premium and closing costs), ongoing costs related to the accrual of interest, spending options for a variable-rate Home Equity Conversion Mortgage (HECM) and details on the growth of a HECM line of credit in a series of new articles at Forbes. Dr. Wade Pfau, a principal at McLean Asset Manage...
Tags: Featured, Education, Finance, Data, Forbes, HECM, Wade Pfau, McLean Asset Management, Pfau, American College of Financial Services


Reverse Mortgages Could Gain Attention as Hopkins Moves to Carson Group

Financial planner, retirement income specialist and professor Jamie Hopkins has joined financial management company Carson Group as vice president of private client services and director of retirement research, as of January 1. Hopkins, a noted advocate for financial education in the retirement income space and prominent voice in the reverse mortgage community, will maintain his position as a member of the Funding Longevity Task Force at the American College of Financial Services. The Task Fo...
Tags: Featured, Education, Finance, Hopkins, Jamie, Task Force, Carson, American College, Shelley Giordano, Jamie Hopkins, Wade Pfau, RMD, Funding Longevity Task Force, Carson Group, Hopkins Moves to Carson Group, Carson Wealth Carson Group


Forbes: A History of Reverse Mortgages

A professor at the American College of Financial Services has written a new column detailing the history of reverse mortgages, extending further beyond the Housing and Community Development Act of 1987 signed into law by President Ronald Reagan in February of 1988 by over 25 years. Appearing at Forbes, Dr. Wade Pfau – who also serves as a principal at McLean Asset Management, and who has researched widely on reverse mortgages – gives a broad recap of some of the major moments across the history ...
Tags: Finance, United States, Ronald Reagan, Forbes, Wade Pfau, McLean Asset Management, Pfau, American College of Financial Services


Task Force Issues Call for Education on HECM Repayment Pitfalls

As the industry has positioned the Home Equity Conversion Mortgage as a strategic retirement tool for more affluent borrowers, an industry trade group recently issued an important warning: Do not accidentally terminate your loan by paying down your balance too low. Called a “HECM non-claim termination” in the Federal Housing Administration’s HERMIT system, this type of loan event is a risk specifically for borrowers who are making partial payments to maintain a revolving line of credit as part o...
Tags: News, Finance, Hud, Hermit, FHA, Federal Housing Administration, Department of Housing and Urban Development, Giordano, HECM, Reverse Mortgage, Shelley Giordano, Wade Pfau, American College of Financial Services, Dan Hultquist, Hultquist, Celink


Six Tips for Building a Reverse Mortgage Referral Network

In today’s rocky reverse mortgage landscape, it’s clear that a strong referral network is a major component to success. With profit margins shrinking, there’s little room in the budget for lead buys and marketing, and those who can cut costs by networking for clients might have a better chance of survival. But connecting with other professionals to find clients can be challenging. Whether your focus is on Realtors, CPAs, attorneys, or financial advisors, there are barriers that take skills to br...
Tags: News, Finance, Massachusetts, Wisconsin, Downey, HECM, Reverse Mortgage, Wade Pfau, Harlan Accola, Accola, Fairway Independent Mortgage, Chris Downey, Harbor Mortgage


Weekend reading: Savers appeal to the opposite sex

What caught my eye this week. A cademic research has confirmed what we obsessive savers already suspected – that we’re pretty damn attractive to the opposite sex. As Jonathan Clements at The Humble Dollar reports: Savers, both men and women, were viewed as more desirable romantic partners, because they’re perceived to have greater self-control. In truth, it isn’t clear that good savings habits and greater overall self-control really are connected. But because good savers are viewed that way, t...
Tags: Google, UK, Marketing, US, Bloomberg, Mark Carney, Britain, Boe, Stella Mccartney, Brexit, Chris Guillebeau, US Midwest, Other sites, Weekend Reading, Wade Pfau, Misha Glenny


Book Review: Beyond The 4% Rule by Abraham Okusanya

T he tactics you use to accumulate your retirement pot just won’t do when you throw the whole system into reverse and start spending those savings. That’s a message that’s been slow to spread but is picking up speed now that the discipline of retirement research is moving out of academic journals and into Amazon books – placing more powerful retirement strategies into the hands of DIY investors like us. The running has been made by US pioneers so far, but the good news is that we finally have ...
Tags: Amazon, UK, Marketing, US, Britain, Belgium, Monevator, Wade Pfau, Pfau, Michael Kitces, Michael McClung, Abraham Okusanya, Okusanya


Reverse Mortgage Originators Name Their Favorite Educational Resources

When potential borrowers want to learn more about reverse mortgage products, many professionals look to their in-house resources, like company websites, to begin the education process. For Beth Paterson, executive vice president at Reverse Mortgages SIDAC in St. Paul, Minn., her website’s articles are a primary “education piece.” “Our website is designed as educational, not just promotional,” she said. Equally important for Paterson are her popular blog, Beth’s Reverse Mortgage Blog, and her boo...
Tags: News, Finance, Arizona, Las Vegas, Nelson, Forbes, Paterson, National Reverse Mortgage Lenders Association, Beth, Rodriguez, U S Department of Housing and Urban Development, ST PAUL Minn, Bryn Mawr, Reverse Mortgage, Shelley Giordano, Wade Pfau


Positioning Reverse Mortgages as a Solution in a Down Market

One of the most prominent scholarly advocates for using reverse mortgages in retirement laid out a case last week for finding opportunity in the volatile stock market. “A reverse mortgage helps preserve a portfolio and gives it a chance to recover,” Wade Pfau, professor at the American College of Financial Services, said at the 2018 Housing Wealth in Retirement Symposium in Washington, according to a Forbes report. Pfau and fellow Home Equity Conversion Mortgage researcher Barry Sacks examined t...
Tags: News, Washington, Retirement, Finance, Mit, Hopkins, Forbes, American College, James Lockhart, Knutson, Bipartisan Policy Center, HECM, Reverse Mortgage, Jamie Hopkins, Wade Pfau, Pfau


Reverse Mortgages Became ‘Harder Sell’ After October 2

Reverse mortgages became a harder sell for potentially skeptical borrowers amid the most recent program changes, according to a syndicated financial columnist. “Recent changes to reverse mortgages mean seniors and their families may have tougher decisions to make,” financial planner Liz Weston wrote in a column for the website NerdWallet. Weston quotes a variety of experts in the column, which was picked up by the Associated Press, who claim that the new calculus of lower principal limits and po...
Tags: News, Finance, Associated Press, Weston, HECM, Reverse Mortgage, Wade Pfau, Michael Kitces, Liz Weston, NerdWallet Weston


How to Educate Financial Advisors About the New Reverse Mortgage

For the last several years, there has been a major industry-wide push to spread awareness among the financial advisor community about how reverse mortgages can be a powerful tool in retirement planning. But recent changes to the product that lower principal limits and change mortgage premiums have some worried that the HECM has lost its appeal among financial advisors. While some retirement income experts admit that the new rules do change things, they insist that the HECM still has real value f...
Tags: News, Finance, Hopkins, Giordano, HECM, Reverse Mortgage, Shelley Giordano, Jamie Hopkins, Wade Pfau, Pfau


Backlash to CFPB’s Reverse Mortgage Report Continues

A prominent reverse mortgage researcher joined the criticism over the Consumer Financial Protection Bureau’s recent report on the products, calling the bureau “wrong.” Wade Pfau, professor of retirement income at the American College of Financial Services in Bryn Mawr, Pa., wrote a lengthy post for Advisors Perspectives that disputes some of the CFPB’s findings. Back in August, the bureau issued a report warning against the use of Home Equity Conversion Mortgages to delay receiving Social Securi...
Tags: News, Finance, Social Security, Monte Carlo, CFPB, Consumer Financial Protection Bureau, HECM, Reverse Mortgage, Wade Pfau, Pfau, Bryn Mawr Pa, American College of Financial Services, Delaying Social Security


HECM Credit Line Growth Could Slow Substantially Under New Rules

Since HUD’s reverse mortgage rule changes took effect October 2, Home Equity Conversion Mortgage experts and researchers have struggled to get a clear picture on what they might mean for the loan and its use as a retirement product. But one trend is emerging: New principal limit factors and annual insurance premiums will result in slower growth for the line of credit (LOC) option, a popular tool in some borrowers’ retirement strategies. Wade Pfau, professor of retirement income at the American C...
Tags: News, Retirement, Finance, Hud, LOC, Giordano, HECM, Reverse Mortgage, Shelley Giordano, Wade Pfau, Pfau, Bryn Mawr Pa, American College of Financial Services


CNBC Tackles Reverse Mortgages in Post-October 2 World

CNBC became the latest mass media outlet to tackle the reverse mortgage landscape in the wake of major program changes rolled out last month, warning that the new principal limits and insurance premiums could “put a crimp” in some traditional strategies. In general, the financial news network still comes down on the side of using Home Equity Conversion Mortgages in retirement, providing a quick recap of some of the major uses that financial planners have advocated even before the advent of the c...
Tags: News, Retirement, Finance, Long, Social Security, Cnbc, CFPB, Consumer Financial Protection Bureau, Davison, Modera Wealth Management, HECM, Richard Cordray, Reverse Mortgage, Tom Davison, Wade Pfau, Tom Dickson


Groupon: Free 60-Day Kindle Unlimited Membership ($19.98 Value)

Groupon is offering a Free 60-Day membership to Kindle Unlimited. You must not have had been a KU subscriber within the last 12 months. A Kindle Unlimited (KU) subscription usually costs $9.99 a month and includes free access to a special library of over 1 million eBooks, thousands of audiobook narrations, and current issues of various magazines. As with Netflix, when the membership ends, your ability to read the books end as well. After making the purchase, you must “view” the voucher an...
Tags: Book Reviews, Marketing, Netflix, Stanley, Richard Thaler, William Bernstein, Deals & Offers, Danko, Wade Pfau, Darrow Kirkpatrick