The Uturn Mortage Plan
Put your home equity to work and create the pension
plan that meets your retirement needs
Saving for retirement can be a struggle. With 35-45 per cent of income being sapped by taxes; 40-45 per cent dedicated to servicing debt, such as mortgage and car payments; and the rest covering the cost of living (food, children, social life, etc.), it can be a challenge to find that extra bit of money for savings. While paying off a mortgage builds equity in your home, that value doesn’t help with long-term goals. And by the time mortgages are paid off 25-30 years down the road, many homeowners end up house rich, but cash poor. However, this doesn’t have to be so. The UTurn Mortgage Plan™ puts that home equity to work, building the retirement plan you desire and deserve.
John Durbano, founder of UTurn Mortgage Inc., has worked in the financial business for 15 years. He’s managed portfolios and structured pension plans for numerous clients,but found most were not saving enough to meet their lifestyle needs when they retire. The options were often undesirable. “They were going to have to work longer, save more or decrease their lifestyle expectations,” explains Durbano, who managed a $70-million portfolio at a major Canadian bank before opening his own firm, Signature Wealth Advisory, five years ago. For retirees, many need to sell their homes and downsize or rent, or turn to a reverse mortgage to sustain their lifestyle. This avenue, however, keeps homeowners in debt to the bank, leaving little if anything left over for beneficiaries.
Durbano saw a better alternative. The UTurn Mortgage Plan™ helps homeowners with at least 20 per cent home equity create a self-directed pension plan by utilizing the mortgage principal payment in safe, secure investments and making it tax deductible. Known as “cash damming” under ITC Section 20 (1)(c) of the Canadian Income Tax Act and Bulletin ITC-533, this proven strategy allows homeowners to cultivate a growing investment portfolio that combines compound interest with a tax-deductible mortgage. “We are transferring bad debt, which is the mortgage, onto good debt, which is a tax-deductible line of credit, which then creates your pension plan on your equity,” explains Durbano, a qualified estate and trust planning specialist and retirement planning specialist who also holds a Fellowship of the Canadian Securities Institute, the top designation in the financial industry. Saving plans can be accelerated by applying tax refunds against your mortgage, growing investments faster while taking years off the mortgage term and saving you thousands of dollars in interest.
A six-figure retirement portfolio is possible. Create your own self-directed pension plan and retire, as Durbano explains, “house rich and cash rich” with the UTurn Mortgage Plan™.
5045 Orbitor Dr., Bldg. 12, Suite 201