Real Estate Advantages for Retirees

Friday, November 25, 2016  
Darryl Johnson  

~/Views/Blog/HDX/l2/post.cshtml Real Estate Advantages for Retirees

By Darryl Johnson

Friday, November 25, 2016

Real Estate Advantages for the “Baby Boomer” or Retiree

Do you want to Downsize With Equity AND Improve Your Retirement Quality Of Life?

Seems like an impossible scenario but thanks to a somewhat new mortgage program designed especially for seniors you can now actually put from 45% to 50% down on a new home purchase and NEVER pay another mortgage payment the rest of your life!

The HECM or Home Equity Conversion Mortgage is designed for seniors 62+ and now contains certain guarantees that keep your purchase and payments secured for as long as you and your spouse remain in the home. If interest rates change – no problem that’s the bank’s issue – economy goes down – no problem that is the bank’s issue. But should the value of your home increase then those upswings belong to you or your heirs.

This program, when coupled with the tax base transfer program in Santa Clara County or other participating counties can make your retirement future very bright! The Performance Real Estate Team has the knowledge and experience to put these advantages to work for you!

Afraid of CA property taxes when downsizing? Here's how to keep your tax basis on a NEW Purchase.

A lot of seniors with accumulated equity in their current homes are reluctant to downsize or upgrade to a newer home with more modern features and designs due to the significantly onerous California property tax increases that would follow.

The California legislature and the voters of Santa Clara County have realized that the huge increases in the value of homes in the areas of greatest growth like Silicon Valley have put home ownership or downsizing out of reach for most retirees. Proposition 60 for Santa Clara County has made that a moot point for any senior over 55 years of age that are contemplating downsizing or a move.

Prop 60 allows a senior to sell his high equity home and buy elsewhere in the county at equal or less value and move their current tax base to the newly purchase home saving thousands per year in property taxes. This program makes downsizing or upgrading your home economically feasible. Ask the Performance Real Estate Team for more details and how to get this program working in your favor. Once source for the sale of your home, the purchase of the new home and the paper work needed for the tax base transfer!

Have a large gain on sale of a property? Let us show you a way to mitigate capital gains on the sale and preserve your equity!

If you are a California home owner or investor with high equity positions in Real Estate and don’t have an exit strategy that would mitigate the capital gains on the sale of those assets you may be seeking alternatives to this position.

We have a strategy that has been working since the early 1920’s that allow for the sale of Real Assets and a process for distributing funds at a hugely reduced capital gains rate from that sale.

In California, capital gains on the sale of Real Assets are taxed at normal “income tax” rates in the year received. This, when coupled with Federal Capital gains taxes and the  Obamacare surcharge of 3.8% can make the tax rate on sales of assets the second highest in the WORLD! Second only to Luxembourg!

The Performance Real Estate team has solutions for this and has partnered with a group of attorney’s and CPA’s specializing in this process to help our clients take advantage of the Deferred Sales Trust.

In fact, using this program can effectively INCREASE your yield from the asset sale over time and can seriously augment your net gains on the sale of Real Estate. We have modeling programs that can illustrate how this works. Let the Performance Real Estate Team help you plan for a brighter future and keep more of your gains on your investments.

Want to accelerate your retirement savings? Put real estate into a self-directed IRA!

If you’re like most people planning for a secure retirement or even to maximize your assets over time in a tax-advantaged program then you may want to consider adding Real Estate to your investment portfolio. Today this is much more easily accomplished with Self Directed IRA’s than ever. Finally, investors can add an asset class to their holdings that not only is inflation proof but that adds some reasonable gains!

If you’re tired of underperforming stocks and bonds and want to add high single or even double digit appreciation to your retirement planning then you need to consider the advantages of a Self Directed IRA. The Performance Real Estate Team has partnered with one of the largest and most respected Self Directed IRA facilitator’s to provide a single source for experienced Real Estate investment programs that utilize the economic advantages of Real Estate.

One source for account set up and management, the asset location, the purchase and closing transaction that adds the benefits of Real Estate to your investment program.  Clean, simple and secure!

Use some or all of these strategies to greatly improve YOUR networth & quality of life!

Darryl Johnson - Senior Residential Estate Specialist

About The Author:

Mr. Johnson has been involved in Real Estate for more than 30 years. Starting with his arrival in Southern Santa Clara county in the late 80's.

As the highest performing agent for Cornish & Carey straight out of their "Academy for New Agents" to one of Coldwell Banker's top Agents in the South County to one of Exit Realty's top performers in all of N. Calif.

Simultaneous with his Real Estate practice Darryl was a highly successful Business Development Mgr. with Hewlett Packard and other high tech companies until retirement from Hi-Tech.

Darryl practices both residential & commercial Real Estate with specialization in investment property. Currently as part of the "Performance Real Estate Team" with his wife Connie they have handled more than 200 transactions and have been top producers for Exit Realty. Both Darryl & Connie are certified by the National Assoc. of Realtors as "Senior Real Estate Specialists".