Reverse Mortgage Mail Drop: Who You Gonna Call?
Have you ever found yourself sitting in your arm chair with a barrage of Reverse Mortgage mail on your lap, wondering who you should listen to? It can get overwhelming when you get five postcards a day in the mail telling you, “We will do it right!” Who knows, maybe they all can! But are you sure?
First, a little bit of history: Reverse Mortgages are certainly not new. For over forty years Reverse Mortgages have helped senior homeowners remain in their homes and enjoy an easier lifestyle. Yes, that’s right, over forty years! That’s a long time. Reverse Mortgages have been around since the 1960’s, though they were not FHA insured loans. In 1961 Nellie Young closed on her Reverse Mortgage, the first in the nation, with Deering Savings and Loan of Maine as her lender.
Twenty years later Congress passed FHA Reverse Mortgage Legislation called the Housing and Community Development Act of 1987 (December 22, 1987), a great Christmas present to seniors, and the Reverse Mortgage took off. The first FHA insured Reverse Mortgage closed October 19,1989 with James B. Nutter and Company, the lender, and Marjorie Mason of Fairway, Kansas was the lucky recipient.
These days the most important thing to remember is to learn about Reverse Mortgages for yourself. There is no substitute for knowledge. You can’t blame someone else if you haven’t taken the time to learn firsthand what Reverse Mortgages are all about. If you are an internet user, use the information super highway to find out more. Order some CD’s; most are free. Attend a seminar. Talk to an experienced Reverse Mortgage Specialist, someone you feel comfortable with who knows their field. Find someone with expertise and experience who will walk you through the education process, the application, and who will stay with you all the way through. But it doesn’t end there. A good Reverse Mortgage Specialist will stay in touch with you even after you close!
Check out the company they work for. Are they listed in good standing with the Better Business Bureau? (I am proud to say my company, Advisors Mortgage Group, has an A+ Better Business Bureau rating!!) What can your Reverse Mortgage Specialist offer that attracts you to work with them? How long has your Reverse Mortgage Specialist been doing Reverse Mortgages? Do they have testimonials from satisfied borrowers or phone numbers you can call to see what these borrowers think of Reverse Mortgages?
Personality has a lot to do with it when you are choosing someone to work with. You can tell when you meet someone over the phone or in person whether there is a real connection between you. There has to be a genuine sincerity and honesty coming from a professional who is sharing their product with you for you to want to work with them. Here are some suggestions for choosing the right person and company:
1. Expertise and professionalism
2. Experience and know how
3. Sincerity and compassion
4. Good listening skills – Are they genuinely interested in what you have to say? Are they on YOUR wave length?
5. Are they able to explain the program to you in a simple manner so that you also understand it? Do they encourage you to get opinions from your family and trusted advisors?
6. Are they willing to make a free, personal in-home visit to review the information with you?
7. When they arrive, do you feel rushed or comfortable?
8. Do they present their license and company license, and do they offer referrals of satisfied customers?
9. Is their company respectable and experienced?
10. Are their loan officers all licensed and tested?
Very often we meet the nicest people, but what programs do they offer to you? Do they try and sway you to accept a program that does not fit your present needs? Are you aware there are fixed as well as adjustable rate mortgages? These are important things to take into consideration. Loan officers are precluded from “steering” borrowers into a loan that does not fit their needs. It is against FHA regulations, HUD, and the banking departments of every state in the union. So be careful; be your own counselor. Even though you will be receiving HUD required Reverse Mortgage Counseling, be sure to do your own homework. Your Reverse Mortgage Specialist will help you ascertain whether it is a good idea to do a Reverse Mortgage by looking with you at your budget and seeing how a Reverse fits in.
Remember that all loan officers must be licensed and tested. They need to know certain things such as the law, current regulations, and how to do a loan. But you can’t legislate ethics. That has to come naturally. Find someone with good character, someone you can respect, who knows enough about Reverse Mortgages so you can learn from an expert! Ask for referrals and recommendations. Then, take advantage of this wonderful financial tool.
Wishing you all the best life has to offer!!
Kathie Adler - Reverse Mortgage Blog 
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