There are five reverse mortgage lenders in the Home Equity Conversion Mortgage (HECM) sector that are doing things worth noting. They range from targeting niche segments to broadening the proprietary space.
According to Reverse Mortgage Daily, the five to watch are: Finance of America Reverse, VIP Mortgage, Longbridge Financial, Open Mortgage, and American Advisors Group.
The latter, known as AAG, is the number one reverse mortgage lender in the industry according to HECM volume data and is also one of the most clearly visible entities in the business because of its prominent advertising led by spokesman Tom Selleck. Recently, the company refocused its marketing to emphasize reverse mortgage products are safe for seniors.
Open Mortgage made the list for its purchases and focusing on new technological developments. Among its recent acquisitions was Premier Home Mortgage, and Open also hired 50 former employees of shuttered lender Live Well Financial. Both the acquisition and the new hires will help in expanding Open’s technological footprint.
In November 2019, Longbridge Financial announced the availability of a new variation of its “Platinum” proprietary reverse mortgage product, featuring a line of credit (LOC) feature. It is designed to provide seniors the same flexibility, interest rates, and relatively low-cost origination that comes with a HELOC.
Arizona-based lender VIP Mortgage may not be a lender that has cracked the top 10 rankings, but they are a lender that is on the move. Based on full year 2019 endorsement data compiled by Reverse Market Insight (RMI),VIP Mortgage managed to grow its endorsement volume by 50 percent year-over-year.
Also, one of the major leaders in terms of proprietary reverse mortgage product development continues to be Finance of America Reverse with its “HomeSafe” product suite.
Read more about the top 5 reverse mortgage companies.