Lenders One Mortgage Cooperative, a national alliance of independent mortgage bankers, announced MetLife Bank NA, a subsidiary of MetLife Inc. (NSYE: MET), as its newest preferred investor. The relationship will position MetLife Home Loans’ Reverse Mortgage Division to purchase cooperative members’ closed reverse mortgages and fixed-rate home equity conversion mortgage (HECM) products.
“The reverse mortgage product is very important to seniors looking for ways to fund a comfortable retirement, as well as to our members, for whom the reverse mortgage business represents significant opportunities for growth,” said Scott Stern, CEO of Lenders One. “Reverse mortgage lending is still a relatively untapped business channel for many lenders. We believe that MetLife’s experience in this sector of the industry will support our members’ efforts to grow their business in this market and allow an additional way for them to provide needed products in the communities they serve. We are so pleased to welcome MetLife as a preferred investor, especially because they are the top issuer of Ginnie Mae HECM mortgages in the country.”
Unlike other reverse mortgage lenders, MetLife has a correspondent division dedicated to purchase closed reverse loans. Though some of Lenders One’s members have experience with reverse mortgages, they were mostly limited to acting as a broker. Aligning with a recognized industry leader such as MetLife will help migrate members to a correspondent role, all while avoiding the extra costs involved with entering this market alone.
“With maybe 10 investors in the country buying reverse products, there are limited resources and knowledge available to lenders,” explained Michael Mooney, wholesale and correspondent sales director for MetLife Home Loans, a unit of MetLife Bank NA. “Partnering with Lenders One provides us a great opportunity not only to help those lenders already offering reverse mortgages, but also to help more small- to mid-sized lenders venture into this special market and support them with an appropriate level of understanding to be successful, and, above all, to help more seniors to remain comfortably in their homes.”
Stern continued, “MetLife Home Loans offers undisputed financial strength, stability and security to back the loans it purchases. And with its strong emphasis on training, we can be assured that members are fully prepared to either begin or grow their reverse mortgage offering to better meet the needs of their respective communities.”
About Lenders One Mortgage Cooperative
Lenders One is a national alliance of mortgage bankers which was established in 2000 and is based in St. Louis. With more than 150 members originating more than $60 billion in mortgage loans annually, the Lenders One alliance ranks as the third largest retail mortgage originator in the U.S. Lenders One leverages its aggregate buying power and preferred-investor relationships to negotiate better lending terms and provide premium business services at reduced costs. Its mortgage productivity system additionally allows members to close more loans, satisfy continuing education requirements and market themselves more powerfully.
For more information, visit LendersOne.com or MetLife.com.