Mahwah, New Jersey:
“The announcement today of Reverse Loans USA is the culmination of six months of planning and placement of resources against the challenges facing all of us in the HECM space”, states Glenn Wallace Nationwide’s president. “We knew that we could not be an H2H shop forever so back in July we began developing programs to target traditional HECMs as well as H4P’s. Past experience taught us this was going to take some time to develop so we also started building up our existing forward loan division”, Wallace added.
“We never stopped doing forward loans, stated Paul Lamparillo, Nationwide’s CEO, and we are actually very good at it”. While originally the revenue from the forward business was to take Nationwide to a new level of profitability it will now fill in the hole left by the October 2nd changes, added Lamparillo. With the two business models working side by side we felt the reverse product needed more product recognition especially with first time HECM customers and Reverse Loans USA will achieve that, stated Wallace.
The added advantage of offering both forward and reverse mortgage product options is most certainly the referral benefit. Those customers in the forward space may have a family member or friend that a HECM may be a perfect financial solution. Equally, our HECM customers may become an ideal referral source for forward loans within their family and friend assemblage.
We will still market our forward loans under the Nationwide Equities brand and both platforms will incorporate the well-recognized bulldog in its logos and marketing efforts.