Wednesday, March 29, 2017

What You Receive With an FPCM

Thursday, February 2, 2017

Tips for Easing the Transition into Retirement

 

An experienced financial advisor and a principal of Boca Raton, Florida-based First Financial Tax Group, Barry M. Kornfeld helps clients develop retirement income plans. In the course of doing so, Barry Kornfeld has come to understand that the transition into retirement can be challenging, particularly when it comes to making the adjustment from working daily to not working at all. The following tips are intended to facilitate that transition.

1. Create goals for your retirement so that you have something to work toward and can remain active. A report by the Institute of Economic Affairs has noted that the likelihood of clinical depression increases by 40 percent following retirement and that this is likely associated with the lack of purpose some may feel upon retiring.

2. Maintain your friendships to reduce the stress associated with the transition. Staying social can also stave off cognitive decline, as demonstrated in a study by the Rush Alzheimer’s Disease Center in Chicago, which found that socially active seniors experienced a 70 percent lower chance of decline. Other studies have found that being social results in a 30 percent decrease in symptoms related to depression.

3. Finally, understand that the transition will take time, so be patient and develop a plan. Be prepared for your feelings about your retirement to change regularly, often for several months after you have retired.

Tuesday, January 3, 2017

First Position Commercial Mortgages Offer Safer Income Alternative


A graduate of American University, Barry M. Kornfeld is an experienced financial advisor who functions as the principal of First Financial Tax Group in Boca Raton, Florida. In this position, Barry Kornfeld offers the firm’s clients a wide range of financial services, including the opportunity to obtain first position commercial mortgage notes, or FPCMs.

A first position commercial mortgage note refers to a financing approach that offers clients a safer fixed-income alternative. Secured by high-value commercial real estate as collateral, clients who use FPCMs in their portfolio loan an amount of money over the course of only one year. In doing so, these clients receive fixed interest payments on their FPCM note at an annual rate that starts at six percent. This interest is paid out monthly, which is often ideal for Kornfeld's largely retired clientele.

The FPCM is a fixed-income alternative that provides a higher degree of safety due to the fact that the client is listed as the first position lien holder on the mortgage of a commercial property. In the event of default on the commercial bridge loan by the property owner, the specialty mortgage company that Kornfeld's team uses for these transactions is contractually obligated in the documents to make the interest & principal payments to FPCM note holders, thus providing continuity, and much desired peace of mind. Kornfeld says, "...they due this to protect their own second interest which is subordinate to all FPCM note holders, in every transaction available..."