This week how can reverse mortgage professionals more effectively engage with financial professionals? Our special guest Ryan Ponsford gives the perspective of a financial advisor explaining the common mistakes reverse mortgage originators make in their approach and tools to communicate with competence and confidence.
Shannon Hicks
Editor in Chief: HECMWorld.com
As a prominent commentator and Editor in Chief at HECMWorld.com, Shannon Hicks has played a pivotal role in reshaping the conversation around reverse mortgages. His unique perspectives and deep understanding of the industry have not only educated countless readers but has also contributed to introducing practical strategies utilizing housing wealth with a reverse mortgage.
Shannon’s journey into the world of reverse mortgages began in 2002 as an originator and his prior work in the financial services industry. Shannon has been covering reverse mortgage news stories since 2008 when he launched the podcast HECMWorld Weekly. Later, in 2010 he began producing the weekly video series The Industry Leader Update and Friday’s Food for Thought.
Readers wishing to submit stories or interview requests can reach our team at: info@hecmworld.com.
5 Comments
Here’s my pitch on the fee conversation. I take it head on as follows: Reverse mortgages have very high fees, but you’re asking someone to give you a big bag of money and never make a payment for the rest of your life. They might want something for that! Okay, let’s say that the initial fees to do your reverse mortgage is $25,000.00. The value of your property just went up by $300,000. 00 in the last three years. You didn’t work for any of that! So, who’s paying those fees when they are rolled into the loan? God (or the market) is paying those fees so you can have a much better retirement plan because such ridiculous increases in home equity are, in fact, gifts from God! So, what do you care about that $25,000.00? A much better retirement plan with far greater flexibility is well worth a small amount of dollars taken from the recent huge dollar increase in home equity! Remember, the market giveth and the market taketh away! You could lose $25,000.00 in home equity on the day the head of the Fed sneezes real hard!
To date I have had no real pushback from this argument, except once: “Wait a minute! I made my payments for the last three years, so I DID pay for that $300,000.00 increase in home equity.” Let me ask you this: If you weren’t paying on a mortgage, you’d be paying rent, right? “Yes.” Okay, then your terrific low interest rate mortgage payment bought you SHELTER, not EQUITY. My argument stands.
Winning debates is one thing but gaining sales through competent persuasion is much different. It is unclear what you are achieving but good luck with that approach.
Agreed. Debating will never win an advisor over. In his interview Ryan explains a better approach (a pollinator vs a parasite), preparing to meet an advisor, and how competency breeds confidence.
When speaking to fellow professionals, my approach is always, “How can I help you?” It has to be Win-Win, or No Deal; right?
If I get any sort of condescending attitude, I move on; life’s too short.
Spot-on. Yes..the WIFM factor mustn’t be overlooked.