Key facts
- Ryan Ponsford, an adviser with Equity Wealth Strategies, is actively promoting reverse mortgages to financial advisers.
- He co-founded the Equity Wealth Academy to provide education on reverse mortgages and housing wealth integration in retirement planning.
- Ponsford believes there are approximately 33 million U.S. households that could benefit from reverse mortgages.
- He highlights the voluntary payment option on reverse mortgage lines of credit as a strategic tool, especially with current interest rates.
- Ponsford's approach involves positioning clients to consider their home equity as part of their overall retirement plan, even at younger ages.
Ryan Ponsford, an adviser with Equity Wealth Strategies, is actively working to bridge the gap between financial advisers and the reverse mortgage industry. Initially skeptical, Ponsford has become an advocate, emphasizing the potential for reverse mortgages to enhance retirement planning for seniors.
Ponsford co-founded the Equity Wealth Academy, a platform designed to educate loan officers and financial professionals on the mechanics and benefits of integrating housing wealth into retirement strategies. The academy offers a comprehensive curriculum, including a 17-module program on engaging advisers and HECM foundations, supported by weekly live calls and ongoing development of resources.
He estimates that approximately 33 million U.S. households are potential candidates for reverse mortgages, yet the industry currently serves only a small fraction of this market. Ponsford points to a lack of understanding and poor communication from both the lending and advisory sides as key reasons for this gap.
Ponsford highlights the strategic advantage of a reverse mortgage line of credit, particularly its flexibility. He notes that clients can choose to make payments on the outstanding balance, which, given current interest rates, can effectively yield a 7% return. This option provides a revolving line of credit that grows over time, offering a contrast to traditional home equity loans or HELOCs which often require fixed payments and have static limits.
When advising clients, Ponsford considers different life stages. While reverse mortgages are typically available from age 62, he advocates for beginning the conversation about home equity as part of retirement planning earlier, even for clients in their 40s or 50s. The goal is to ensure clients have multiple financial 'spigots' to draw from in retirement, managing tax liabilities and market risks effectively.