If you are a life insurance agent or financial advisor looking for ways to help your client, we’d like to show you one up and coming strategy to do just that!
Help your client pay off the home in record time!
Help your client save money in overall interest costs!
Help your client build up a more robust cash value life insurance policy than otherwise possible!
Enter the First Lien HELOC for primary residential real estate mortgages….
What is a First Lien HELOC?
You may be familiar with a home equity line of credit, or HELOC, as a way to use the equity in your house as cash. People use HELOC’s for all kinds of things, such as home improvements, consolidating debt, or paying for education expenses.
Traditionally, people think of a HELOC as a second loan or lien on their homes, which sits “behind” their first mortgage. A First Lien HELOC is an option to replace your mortgage and also have access to all your equity, not just the amount of a smaller 2nd mortgage HELOC.
Additionally, using Velocity Banking, people can pay off their home in as little as 5-7 years without changing their lifestyle or need for more income.*
Are you curious yet? Let’s explore how a First Lien HELOC works and some of the ways you can use this type of loan to achieve financial freedom.
Initial Understandings of the FLH
- Using the Maximized Cashflow Strategy with a First Lien HELOC allows for homeowners to safely leverage everything toward paying off their house, so there’s no faster way to pay off the house with the current cashflow.
- It only works when the household makes more than they spend and is disciplined with their finances.
- If a household is tight on their budget, this will not outperform an amortized mortgage and will not be a better option.
- When it does work, homeowners can pay off their homes much faster than what’s feasible/possible with an amortized mortgage.
- Homeowners can save tens- to hundreds-of-thousands of dollars in overall interest costs as compared to an amortized mortgage.
Enter Infinite Banking & Velocity Banking
Velocity Banking refers to the speed of paying off your mortgage.
People have to store money somewhere, which can be a checking, savings, or money market account. With this strategy, all of their money is stored in the HELOC, and when they pull from the HELOC to pay for their bills, they are essentially still using their money because it is all stored here. The main difference is that it’s in the form of equity.
But what if you could use some of that equity to help expand your own Privatized Family Banking System along the way?
The Infinite Banking Concept…
“The Infinite Banking Concept is the best place to warehouse your wealth that has guarantees and safety, while providing ready access to your money allowing you to take over the banking function in your life.”
While the Infinite Banking Concept strategy is not mandatory to be interewoven with this strategy, it is one of the best models to do so.
It is a revolutionary system designed to liberate you from traditional banking constraints. Imagine a financial strategy that offers endless possibilities to manage and grow your wealth independently, putting you in the driver’s seat of your financial journey. The main idea behind this concept is to build up a system where you replace the need for an outside banking system in your life.
This is achieved through a strategically structured, dividend-paying whole life insurance policy from a mutual carrier, transforming it into your own personal banking system. Your funds within this unique ‘banking system’ flourish uninterrupted, continuing to grow even as you tap into them for other ventures.
Ever dreamed of being your own banker?
IBC presents an unparalleled opportunity to safeguard your wealth with robust guarantees and security, coupled with the flexibility to access your funds whenever needed. This empowers you to assume the banking role in your personal finances.
Pairing The Two
- Both Strategies require discretionary dollars.
- Both can be seen as liquidity a vehicle.
- One could see these strategies as competitors because they both require the household cashflow to work.
- Or….One could try to find out a way to leverage the two together.
- Enter… “Infinite/Velocity Banking”
We’ve found a way to integrate the two strategies, where they work together to achieve a much better end-outcome than when implemented independently.
*This statement is not a guarantee of results, savings, or any financial circumstances. We strive to accurately represent these concepts and the educational value they provide. However, there is no guarantee that you will save any money using the techniques and ideas in these materials. When we present savings, interest, and other related benefits on our website and other channels, we are showcasing both real and simulated results, which may not apply to you. Your results will be determined by a number of factors over which we have no control, such as your financial condition, experiences, skills, level of efforts, education, and changes within the market. By continuing to use our site and access our content, you agree that we are not responsible for any decision you may make regarding any information presented or as a result of purchasing and of our products or services.
**The figures and numbers presented in the First Lien HELOC calculator are simulations dependent upon your reported financial circumstances and the data that you enter. These figures are limited estimations and we at First Lien HELOC LLC can not guarantee future results. By using our calculator, you agree that we are not responsible for any decision you may make regarding any information presented or as a result of purchasing and or using our products or services.
***1024 Wealth is NOT a lender, bank or financial institution and do not make loans or credit decisions in connection with loans or pre-qualify any consumer for a loan, and not an owner in the First Lien HELOC company, but rather a referral partner. When you submit a request for information using our services, we may submit your information to First Lien HELOC and your information may be shared in accordance with this our Terms of Service and Privacy Policy.
