Joe Jordan
“People talked about reverse mortgages and I’d break out the crucifix and garlic and say how bad it was. And then I looked into it more and I saw all of the protections that are there and it just has to be used.”
“And it’s not just for wealthy people. That’s the thing that really turned me on. You know, you can have some guy who bought a house 30 years ago for $30,000. Now he’s got access to maybe $150,000 he never thought he had before.”
“For wealthy people, it’s a tax item because it comes out tax free. But for other people, it could be life and death. It’s something that I think would help a lot of people.”
“So what are some of the uses for that? Well, when you’re preparing for a longer retirement, if you retire at a time when the market goes down dramatically early in retirement, you really have a problem because you’re drawing money out when it’s really depressed and you can lose it. So the idea of sequence of returns is to say that during downturns, they could use the reverse mortgage as what we call a buffer asset. And the buffer asset would be something that would replace that income while the portfolio heals.”
“What better asset is there than something that just appreciated dramatically and you don’t have to repay it?”
“By the way, I want to make sure people know, I do not work for Fairway, okay? I’m not hired by them. I’m a recent advocate for it. If we increase the retention of agents or reps that we have in this business by 2%, 2%, it’s a huge bottom line figure and it’s the human side of the business and it’s the side of the business that people remember. And if I can shorten the time period and try to draw more people to go to Fairway and to find out more about this, then I think I’ve done something worthwhile.”
