Generation Mortgage takes a stand for the reverse mortgage industryMortgagePress.comGeneration Mortgage, reverse mortgage, Consumer Reports, HECM
Generation Mortgage Company, a nationwide retailer and
wholesaler of reverse mortgages, has released the following
statement admonishing Consumer Reports Magazine for what
Joe Morris, chief executive officer of the company called,
"Irresponsible, misleading and poorly-researched journalism,"
regarding the March 2009 article called, Money Mistakes: Risks
to Watch Out For.
Reverse mortgages are lent to people aged 62 or older and are
actually a Home Equity Conversion Mortgage (HECM) backed and
insured by the U.S. Department of Housing and Urban Development.
The use of the reverse mortgage program by senior homeowners is
growing and recent Congressional legislation has increased the HECM
lending limit, making these loans now available to an even larger
community of seniors.
Mr. Morris continued, "Most experienced financial professionals
would agree that a reverse mortgage is a powerful financial
instrument that requires careful borrower consideration and
government-mandated counseling. Generation Mortgage and our peers
adhere to a strict, self-imposed code of conduct which exemplifies
the industry's commitment to maintaining the highest of ethical and
Generation Mortgage and other lenders have helped thousands of
people achieve financial freedom and overcome burdens leveraging a
reverse mortgage. Many seniors are so pleased to have peace of mind
that they are happy to share their feeling. Eighty-three year-old
Vivian from Alta Dena, California said, "I feel so relieved that I
don't have to pay a monthly mortgage payment, they will not take my
home away from me, and I will have my home until the day I am
gone--it's a wonderful feeling!"
"It is not the first unfair representation of our industry and
it is unlikely to be the last. Generation Mortgage is a company
built to serve the financial needs of seniors. As such we feel
dutiful in representing our customers, our company and our industry
in speaking out against the erroneous claims of these
self-appointed consumer advocates. It would be tragic, especially
amid the current economic crisis, if even one senior facing serious
financial challenge should fail to consider a reverse mortgage as a
solution because of irresponsible reporting from Consumer Reports,"
Mr. Morris concluded.
For more information, visit www.generationmortgage.com.