Unlocking a commonly misunderstood and underutilized asset.

1. UNLOCKING A COMMONLY
MISUNDERSTOOD AND UNDERUTILIZED
ASSET
SERVING UP KNOWLEDGE
Cástulo Romero
Reverse Mortgage Area Manager
NMLS# 582981
Office: (800)951-2087
Mobile: (818)300-5125
cromero@onetrusthomeloans.com

2. Overview
• Meet the Presenter
• My Story
• A Definition
• My Hypothesis
• Quantify X
• Elements of X
• Making Great X
• Comparing X to Y
• History of X
• Trends in X
• Key Takeaways
• Tips for X
• Call to Action
AGENDA
♦ Current Events & Impact
♦ RETIREMENT CONCERNS
♦ Home Equity as Liquidity
♦ Strategic Uses of HECM
♦ Schedule a free personal
consultation
2

3. WORLD EVENTS & IMPACT
3
INCREASE ON COST OF GOODS (CNN BUSINESS)
12%
Eggs, affected by the deadly avian flu, 49.1% more
expensive
Flour prices jumped 24.9%, bread went up 15.7%, milk was
14.7% more expensive and coffee prices rose 14.6%.
Chicken was up 12% and fruits and vegetables spiked 9.7%.
2009 2019 MTD
Eggs $1.71 dozen $1.41 dozen $7 dozen
Bacon $3.45 pound $5.51 pound $7.61 pound
Bread $1.37 pound $1.37 pound $2.70 pound
Milk $3.03 gallon $3.19 gallon $4.76 gallon
Coffee $3.67 pound $4.20 pound $8.00 pound
Chicke
n
$1.26 pound $1.43 pound $4.31 pound
Gas $2.35 gallon $4.11 gallon $4.02 gallon

4. RETIREMENT CONCERNS
4
Longevity
Ensuring families don’t
run out of money
Lifestyle Liquidity
Access to liquid assets
in the event of an
unforeseen events
Legacy
Leaving something
for individuals and
causes that matter
Additional cash flow to
enjoy the most
meaningful time of life

5. WAYS TO ACCESS HOME EQUITY
 Cash Out Refinance
 Home Equity Line of Credit
 Reverse Mortgage
 Sell your home
5
The borrower must meet all loan obligations, including living in the property as the principal residence and paying property charges, including property taxes, fees, hazard insurance. The borrower
must maintain the home. If the homeowner does not meet these loan obligations, then the loan will need to be repaid. This is not tax advice. Consult a tax professional. These materials are not from
HUD or FHA and were not approved by HUD or a government agency. This is an Advertisement. All products are not available in all states. All options are not available on all programs. All programs
are subject to borrower and property qualifications. Rates, terms and conditions are subject to change without notice. For more information on Reverse Mortgages, visit:
https://onetrusthomeloans.com/reverse-mortgage-disclosures/

6. Internal use only, confidential & proprietary. 6
HOME EQUITY CONVERSION MORTGAGE (HECM)
6
FHA insured non-recourse loan on a primary
residence for borrowers age 62 or above
(Non-FHA available at age 55+in some states)

Loan becomes due when last borrower passes
or is out of the home for 12 consecutive months.

Loan proceeds are not taxable and
available line of credit can grow over time 
Homeowner continues to occupy the home as
primary residence and remains on title as owner

Eliminate monthly payments, and access
home equity in multiple ways with payments
made to you (monthly, lump-sub, combination)

Required to pay property taxes, HOl, and HOA
payments, and maintain property condition
6

7. REFINANCE WITH HECM TO INCREASE CASH FLOW
7
Connie Smith (Age 69)
Home Value $250,000
Mortgage Owed $52,640
Annual Income Needed $40,000
Social Security
Income
$3,000/mo.
Connie has felt the effects of high inflation over the
past year and would like some additional breathing
room in her tight cash flow.
She also realized the uncertainties today and would
feel more comfortable if she had a larger safety net.

8. REFINANCE WITH HECM TO INCREASE CASH FLOW
8
Connie Smith (Age 69)
How Connie increased her retirement security?

Refinanced her existing mortgage using a HECM
What did that do for her?

Freed up $572/mo. in required P&I mortgage payments
and
Created an initial line of credit of $30,714 that
increases…regardless of the home value
The borrower must meet all loan obligations, including living in the property as the principal residence and paying property charges, including property taxes, fees, hazard insurance. The
borrower must maintain the home. If the homeowner does not meet these loan obligations, then the loan will need to be repaid. This is not tax advice. Consult a tax professional. These
materials are not from HUD or FHA and were not approved by HUD or a government agency. This is an Advertisement. All products are not available in all states. All options are not available
on all programs. All programs are subject to borrower and property qualifications. Rates, terms and conditions are subject to change without notice. For more information on Reverse
Mortgages, visit: https://onetrusthomeloans.com/reverse-mortgage-disclosures/

9. HECM SOLUTIONS
9
Taylor (70) and Gia (Age 65) Roberts
Home Value $400,000
Let’s look at a few of the various
ways they could expand their
retirement strategy by integrating
the wealth in their home.

10. HECM SOLUTIONS
10
Taylor (70) and Gia (Age 65)
If Taylor and Gia had an existing Traditional mortgage, they
could refinance with the HECM, creating flexibility and
no longer have a mandatory P&I payment

When Taylor, his advisor and his OneTrust Home Loans Mortgage Professional looked into how
a HECM would work specifically, they determined that a HECM would produce approximately
$125,000 in available Line of Credit
They could delay the start of their social security payments and
maximize their lifetime wealth impact

They could start a Tenure payment – a monthly tax-free income
that will continue as long as they live in the home and pay the
property taxes, homeowner’s insurance, HOA fees (if applicable)

They could have access to an additional asset – Line of Credit -
that grows independent of the underlying home value

(must still pay Property taxes, Homeowner’s Insurance, HOA fees, maintain home)

11. Strategic Uses of a Reverse Mortgage
Asset Strategy
Help retirement
savings last longer
Mortgage Payoff
Paying off existing mortgage
(requirement of the loan)
Roth Conversion
Use LOC to reduce or cover
tax liability associated with a
conversion
Home Purchase
Purchasing a retirement home
that best fits their needs
(right size, move closer to family)
Home Repair
Funding home repairs,
modifications, or
renovations
Line of Credit
Establish a LOC for
unexpected
expenses or
opportunities
Social Security
Bridging social
security deferral gap
In-Home Care
Fund or Supplement
in-home care
Gift
Proceeds can be used for
almost any reason,
including inheritance
STRATEGIC USES OF A REVERSE MORTGAGE
FLEXIBILITY, CERTAINTY, EFFICIENCY
11
The borrower must meet all loan obligations, including living in the property as the principal residence and paying property charges, including property taxes, fees, hazard insurance. The borrower
must maintain the home. If the homeowner does not meet these loan obligations, then the loan will need to be repaid. This is not tax advice. Consult a tax professional. These materials are not from
HUD or FHA and were not approved by HUD or a government agency. This is an Advertisement. All products are not available in all states. All options are not available on all programs. All programs
are subject to borrower and property qualifications. Rates, terms and conditions are subject to change without notice. For more information on Reverse Mortgages, visit:
https://onetrusthomeloans.com/reverse-mortgage-disclosures/

12. 12
FUNDAMENTALS TO UNDERSTAND
How much equity can I access?
01 Age
02 Interest Rates
03 Home Value
How can I access the equity?
01 Tenure payment
02 Term Payment
03 Revolving LOC
LOC – Line of credit
12

13. WE’VE GOT
QUESTION
S

14. WHAT’S NEXT
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The borrower must meet all loan obligations, including living in the property as the principal residence and paying property charges, including property taxes, fees, hazard
insurance. The borrower must maintain the home. If the homeowner does not meet these loan obligations, then the loan will need to be repaid. This is not tax advice.
Consult a tax professional. These materials are not from HUD or FHA and were not approved by HUD or a government agency. This is an Advertisement. All products are
not available in all states. All options are not available on all programs. All programs are subject to borrower and property qualifications. Rates, terms and conditions are
subject to change without notice. For more information on Reverse Mortgages, visit: https://onetrusthomeloans.com/reverse-mortgage-disclosures/
Cástulo Romero
Reverse Mortgage Area Manager
NMLS# 582981
Office: (800) 951-2087
Mobile: (818) 300-5125
cromero@onetrusthomeloans.com
♦ Use Home Equity to enrich your retirement
♦ Invited to educate and help the community
on the uses of Home Equity
♦ Schedule a free 1 on 1 consultation with Jan
(local Reverse Mortgage Professional)

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THANK YOU FOR ATTENDING