Best Bridge Between Retirement and Full Social Security Benefit
December 2, 2015
Unlike with social security, which offers a higher guarantee for life, there is no guarantee with your retirement account which may be affected by low interest rates. One would also want to keep in mind that withdrawals from 401K will reduce the invested base precluding its presence for future growth. Additionally, 401K withdrawal is a taxable event.
Having tax-free cash proceeds from available Home Equity at your disposal may prove to be a better option yet.
Use of FHA’s new Home Equity Conversion Mortgage program provides a vehicle that provides bridge funds without creating an income tax obligation also keeps the home as a continued asset that grows in value with the real estate market. The line-of-credit continues to grow regardless of your property value.
This is the place to share. Share news, updates and opinions. The reverse is the most misunderstood item in the lending and financial home ownership arena; we need more exchange of ideas.
This area is for questions and, I hope; answers. Please keep the dialogue going in the name of education, and that goes both ways. Please see that I have added two categories from The Educated Retirement show for Nostalgia and Wisdom