The strategies known to some of the elite are far from being suitable for most homeowner/investors. 

They do require “outside the box” thinking.

For example:  The elite do not keep the home’s equity by having a paid down or paid off mortgage.   They typically keep a full mortgage i.e. interest only mortgage, while investing the money in a completely safe vehicle that earns the same or better return.

Why do they do that?

The reasons are numerous:

1. 1. Asset Protection.   If you have significant equity in your home and are ever the target of a law suit, you could lose your home.
   

2. 2. If you were to see your home destroyed such as in a fire, flood or landslide and your home was paid for, where would you turn to for the cash to rebuild immediately? 
   

Your answer likely is: the insurance policy, right?  Well, that can take a long time, sometimes a year or longer.   So, what if, your money was liquid?  You could begin to replace your home immediately and let the bank and the insurance company settle between themselves.

3. 3. What if you lost your income?   Would the mortgage company advance you some money?  Absolutely not!  Not even to help you make payments to prevent foreclosure.  This can be critical!
   

What if that were to happen to you?  Wouldn’t you want to have the liquidity to continue to make your payments and prevent any threat of foreclosure?

And, what about income tax?  Typically, the largest deduction for most homeowners is the interest on their mortgage.  Yet, the deduction declines as the interest payment declines until it is totally gone.

This is especially a loss for those retiring on 401k funds.  No real estate mortgage tax write off’s while 100% of 401k income is taxable?   ... not all that wise, when the suggested home for your equity is income tax free.

So, you can see that this strategy is both outside the box thinking and safe bet to multiply your net worth.

NOTE:  THIS SOLUTION IS NOT SUITABLE FOR EVERYONE  ...to determine if it is suitable for you, please contact my office.

Next Example:  The elite make the right type of improvements with ROI in mind.  There are many improvements that will help re-sell a home, such as kitchens and bathrooms but none will exceed and even equal the ROI than Investment Grade energy-savings improvements.

Because selling a home with a very low or non-existent utility bill has built-in dynamic value.

For every $100 in energy-savings, it represents approximately $25,000 in the home’s value.  $100 on a 30-year mortgage will pay for about $25,000 of the homes cost.

And there’s much more.

The upgrades actually pay for themselves.  The same dollars previously spent on utilities can be used to pay for the up-grades.   Then, when they are paid off, the money can be kept and used to accumulate and provide a significant sum for retirement.

And we haven’t mentioned the value of indescribable, unprecedented living comfort.

Please see: www.energysavinguniversity.com