Scottsdale Homeowner Magazine - Mondai Adair

“Homes “Homes are are designed designedtotohouse house families,not families,notstore storecash.” cash.”

“Investments “Investmentsare aredesigned designed to to store storecash.” cash.” from the NASD: “Brokers are not prohibited Betting theAssume ranch;yourisking 401 vacation condo make the mortgage payments. over thirty years. separatehome the investment client recommendations.

This would include from thetoNASD: are not prohibited from making such“Brokers a recommendation per Betting the ranch; risking home 401 vacation condo investment to make the mortgage payments. over thirty years.

Assume you separate the client recommendations.

This would $200,000 of home equity using a mortgage adequately explaining the risks suchinclude an equity to buy securities Many successful people in the of Northwest from making such a recommendation per se, so long as the investment is reasonably Home equity is Serious Money.

We don’t $200,000 of home equity using a mortgage adequately explaining the risks of such equity to buy securities Manyof successful people in athe Northwest with a 5% interest rate. If the $200,000 grows Home which and are significant, to thean dream retiring buying second se, so long as Serious the investment isWe reasonably suitable for isinvestment in general, and it is investment, equity Money. don’t Recently the NASD issued an alert, “… gamble home equity.

Liquidity and safety with 5% interest rate.issued Ifofthe6.75% $200,000 growsit investment, whichorsimply are buying significant, to the dream of retiring and second atRecently aa conservative per year, The NASD wants ensure home in Arizona Hawaii.

Withato one suitable for the investment in general, it istoinvestor.” the anthat alert, “… for specific customer. order because weNASD arerate concerned investors gamble home equity.

Liquidity andInand safety are the key philosophies when separating atwill abecause conservative rate of 6.75% per year, it investor.”

The NASD simply wants to home in Arizona or Hawaii.

With one million dollars or moreprudent saved inadvice. their ensure be must worth $1,419,275 in that 30returns years. consumers are receiving forsuitability, the specific customer.

In order to determine a broker should werely are concerned investors who on investment toAfter are suitable the key philosophies when separating home equity.

Rate of return is a distant million dollars or moreto saved their IRA/401Ks, they decide retire in and buy will be must worth $1,419,275 30returns years. are receiving prudent advice. determine suitability, a broker should consider the client’s investment objectives, consumers deducting the $216,000 inininterest payments who rely on investment toAfter make their mortgage payments could end home equity.

Rate of return is a distant third benefit.

Also, it is not necessary or IRA/401Ks, they decide to retire and buy the vacation home where they will spend consider the client’s investment objectives, deducting themortgage $216,000 inhome interest payments financial status, tax status, and any other make their payments end upthe defaulting on their loans if their and $200,000 mortgage, youcould still have Tax deductions to third benefit.

Also, it is not necessary or the vacation home where they will spend their winters.

What a surprise when they recommended to invest in highly volatile financial status, status, and any other information a firmtax uses to make suitable upinvestments defaulting on home loans if their and they unable and the $200,000 mortgage, you still have $1,003,275 leftdecline in their your account.

Aarenet gain ofto Tax deductions discover that withdrawals toWhat pay to cash for a $350,000 their winters. a surprise when they recommended to invest in highly volatile or aggressive investments.

You can make client recommendations.

This would include offset information a firm uses to make suitable 401k meet payments.”

The investments decline and they A are $1,003,275 leftmonthly indollars. yourmortgage account. netunable gain ofto over onetheir million condo they need to withdraw nearly discover that to pay cash for a or aggressive investments.

You can make adequately explaining the risks of such an client recommendations. would include of dollars by simplyThis borrowing at offset 401k withdrawals $350,000 NASD is absolutely correct inpayments.” advising against meet monthly mortgage The thousands over onetheir million dollars. $500,000 from theirto401K/IRA. What if condo they need withdraw nearly successful retirees have the majority investment, which arein significant, the at adequately explaining the oftosuch an Most separating equity ifcorrect the client must on thousands of dollars by simply borrowing 5% and investing at 5% saferisks conservative This example simply shows a onerelytime NASD is absolutely in advising against instead they had purchased the condo $500,000 from their 401K/IRA. What if have equity the majority theirsuccessful assets in retirees their home and investor.”

Thewhich NASD simply to ensure the returnsequity from their investment to make investment, are togoing the ofMost separating if the client must rely on investing at 5% insignificant, safewants conservative This example simply shows a one time fixedand investments without ever repositioning of equity.

Imagine how thethe 5% 15 years earlier, when it cost $175,000, by they had purchased condo consumersThe areNASD prudent advice. mortgage payments.

As they withdrawing fundsand of instead their assets instart their hometheequity simply wants togoing ensureIRA/401Ks. the returns from their investment make into investor.” securities.

Inreceiving general, individuals numbers grow individuals harvest investments without ever repositioning of for equity.

Imaginethatto how thethe fixed using the equity inwhen their home?

15 years earlier, it cost $175,000, Home equity is Serious Money.

We don’t consumers arehome prudent advice. from their IRA/401Ks, theywithdrawing are hit withfunds aby mortgage payments.

IRA/401Ks. As they start should not invest equity forindividuals “current and reposition their home equity securities.

Inreceiving general, numbers grow for individuals that every harvest5 into using the equity in their home? gamble home Liquidity and safety Home equity is equity.

Serious Money. don’t are income” annual tax bill. they Moreover, the with kids a Taxnotdeductions to offset from their are$175,000 hit unless investment fixed significant years askey their home continues to We appreciate! investthe home equity foris“current and reposition their home every 5 should Today theirIRA/401Ks, net worth would be the philosophies whenequity gamble home equity. Liquidity and safety are movedannual out, the thetax mortgage is paid,the and significant bill.would Moreover, kids deductions to interested offset 401k withdrawals and Tax guaranteed.

Individuals in have Thisseparating is how wealthy manage their home income” higher, condo’s appreciation, unless the investment is fixed years as theirthe home continues toofappreciate!

Todaydue theirtonet worth be $175,000 home equity.

Rate return the key philosophies when tax deductible contributions to 401Ks have moved out, thecondo’s mortgage is paid, and and they due would the mortgage variable investments should have askinterested themselves, equity to continually increase their net 401k withdrawals guaranteed.

Individuals in have This the wealthy manage home and higher, to have the appreciation, isisahow distant third benefit.

Also, ittheir is notworth.

Most successful retirees the majority separating home equity.

Rate of return stopped.

When they could use the mortgage interest deduction to help off-set their have deductible contributions to 401Ks “Howof will I assets make inmytheir mortgage payment if tax and Conversely, ifthird therecommended same $200,000 were left they would have the mortgage or to in to variable their home investments should askequity themselves, equity to continually increase their net isnecessary a distant benefit.

Also, it isinvest notworth.

Most successful retirees have the and majority interest IRA/401K withdrawals.

In addition tomortgage the deduction the could most, they don’t have When they use the highly or aggressive investments. interest deduction to help off-set their my investments Do I have reserve sitnecessary idle involatile the home for$200,000 30 years, itinvest would IRA/401Ks. Asdecline? they start withdrawing funds will make mytheir mortgage payment if stopped.

Conversely, if or the same were left to “How recommended to innot of theirI assets in home equity and financial advantages, they would have it.

As part of long term planning, someone You of dollars by simply funds IRA/401K withdrawals.

In addition to the from IRA/401Ks, they are hit with a deduction the most, they don’t have or their a secure income?”

InI have April 2004, earned a dime. highly volatile orthousands aggressive investments.

Dowithdrawing reserve sithave idle incan themake home for 30 years, it would not my investments IRA/401Ks. Asdecline? they start funds interest enjoyed the lifestyle benefits of may owning who is preparing for retirement want borrowing at 5% and investing at 5% in safe the significant financial advantages, they would have annual tax bill.

Moreover, the kids it.their As part of long term planning, someone following question was posed to2004, the You can make thousands of dollars by simply funds from IRA/401Ks, they are hit with a or their a secure income?”

In April have earned a dime. vacation condo 15 years sooner conservative fixed investments without ever NASD, have a mortgage going into retirement have moved out, the mortgage is paid, and towho enjoyed the lifestyle benefits of owning “Where can I find the exact language is preparing borrowing at 5% and investing at 5% in safe the significant annual tax bill. they planned.for retirement may want following question wasMoreover, posed tothe thekids than Betting the ranch; going into securities.

Inrisking general, individuals tax deductible contributions to 401Ks have theiroffset vacation 15IRA/401k years sooner the condo annual tax bill conservative fixed investments without ever NASD, thatandtotohelp prohibiting a broker from have a mortgage going into retirement have moved out, the recommending mortgage is paid, “Where can Ithey find the exact language shouldequity not invest home equity for “current stopped.

When could use the mortgage than they planned. and enhance their overall financial home to buy securities Betting thesecurities. ranch;Inrisking going into general, individuals I taketax deductibleout 401Ks have to help offset the annual IRA/401k goals. a mortgage onthemy housetoand invest tax bill income” unless the investment is fixed sam your prohibiting brokercontributions from recommending interest adeduction most, they don’tthat haveFor Making many, the uncle mortgage interest deduction shouldequity not invest home equity for “current stopped.

When they could use the mortgage the money in securities?”

The written answer and enhance their overall financial goals. home to buy securities and guaranteed.

Individuals interested in it.aAs part of long planning, someone Recently the NASD issued an alert, “…because I takeinterest mortgage outterm onthemy house and invest best partner offsets taxes due on retirement withdrawals, income” unless the investment is fixed Making uncle sam your deduction most, they don’t have from the NASD: “Brokers are not prohibited variable investments should ask For many, the mortgage interest deduction who is preparing for retirement mayanswer want we areguaranteed. concerned that investors whothemselves, must in rely the money in of securities?”

The written and Individuals interested giving thetax net effect of tax free withdrawals it. making As part longa term planning, someone Recently the NASD issued an alert, “…because Under law deduct upwithdrawals, to one best partner from such recommendation per “How will I make my mortgage payment if to have a mortgage going into retirement offsets taxes dueyouoncan retirement onvariable investment returns toshould make their mortgage fromwho the NASD: “Brokers are not prohibited investments ask themselves, is preparing for retirement may want their dollars retirement account. interest subject million of mortgage we are that investors must rely se, so myconcerned investments decline?

Dowho I have reserve to help offset the annual IRA/401k tax bill from long as the investment is reasonably thetax netlaweffect tax free withdrawals payments could end up defaulting on their you of can deduct up deduct to one fromto making such a recommendation per giving myincome?” payment if a mortgage goingfinancial into retirement toUnder income restrictions.

You can also fundswill or Iamake secure In April 2004, on “How investment returns tomortgage make their mortgage andhave enhance their overall goals. suitable for investment in general, and it is from their retirement account. million dollars of mortgage interest subject home loans if their investments decline my decline?was Doposed I haveto reserve se, so to offset the annualinterest IRA/401k tax bill long asthe themortgage investment is reasonably an additional $100,000 from home equity theinvestments following question Forhelp many, deduction payments could end up defaulting on the their suitable for the specific customer.

In order to income restrictions.

You can also deduct 401 vacation condo funds or “Where a secure income?”

Aprilmonthly 2004, and they are unable meet and enhance theironoverall financial loan interest. To take advantage of these suitable fortaxes investment in general, andgoals. it is NASD, can Itoinvestments find theIntheir exact language offsets due retirement withdrawals, home loans if their decline to determine suitability, a broker should an additional $100,000 home equity the following was posed to the that suitable For many, thespecific mortgage deduction mortgage payments.”

NASD is absolutely deductions, make sure to from secure a large prohibiting aquestion brokerThe from recommending giving net effect ofcustomer. taxinterest free withdrawals forthethe In order Many 401 vacation condo successful people in the Northwest and they are unable to meet their monthly consider the client’s investment objectives, loan interest.

To take advantage of these NASD, “Where can I find the exact language mortgage when you buy. Under tax law, offsets taxes due on account retirement correct against separating if to determine I takeinaadvising mortgage out on my houseequity and invest from their retirement . withdrawals, suitability, a and broker should dream of retiring and buying a second mortgage payments.”

The NASD is absolutely deductions, make sure to secure a large financial status, tax status, any other prohibiting ainbroker recommending that mortgage interestpeople is deductible only for giving the net effect of tax free withdrawals Many the money securities?”

The written the client must rely onfrom the returns from answer their successful inUnder the Northwest consider the client’s investment objectives, home in Arizona or Hawaii.

With one million mortgage when you buy. tax law, correct against separating if information firm uses account to make I takeinaadvising mortgage out on my houseequity and invest from theira retirement . suitable dream of retiring and buying a second financial status, tax status, and any other mortgage interest is deductible only for money securities?”

The written thethe client mustinrely on the returns from answer their information a firm uses to make suitable home in Arizona or Hawaii. With one million