Improving Retirement Income Efficiency Using Reverse Mortgages
Maintaining higher fixed costs in retirement increases exposure to sequence risk by requiring a higher withdrawal rate from remaining assets. Drawing from a reverse mortgage has the potential to mitigate this aspect of sequence risk by reducing the need for portfolio withdrawals at inopportune times.
Pfau, Wade D. PhD, "Improving Retirement Income Efficiency Using Reverse Mortgages" (2016). Faculty Publications. 456.