icate that the coming generation of seniors, the baby boomers (those born between 1946 and 1964) have not saved for retirement as perhaps they should have. That fact, coupled with the changes in Medicaid regulations may make reverse mortgages attractive to many senior homeowners in the very near future. Increasing public awareness and education along with the safeguards built into the program has fueled the growth of this product and that growth is expected to continue, and is in fact, poised to explode within the next few years. In fiscal year 2006, there were over 76,000 reverse mortgages made in our country and that figure represents a significant increase over the 43,000+ reverse mortgages the year before. But we have just barely scratched the surface of the potential for this product.

It goes in cycles. The market is up, the business is plentiful and times are good. Then it happens. Rates move up, the housing market stalls, and loan originators begin looking around wondering how to keep themselves afloat. The creative mortgage products begin to appear and the competition heats up as everyone tries to grab the few deals that are there. Companies begin to either cut back or close completely and you end up having to slash your fees and take less profitable deals just to get business in the door. Has this ever happened to anyone you know? Maybe even you?

Instead of being one of the crowd, just hoping to survive, why not select a niche product, and position yourself as the local expert? Think you can’t do it? Sure you can. And while you’re at it, why not pick a niche that is the fastest growing product that the mortgage market has ever seen? A product that is adding thousands of new prospects each and every day…and can literally change the lives of your borrowers and change your bottom line.

In case you haven’t guessed, I am talking about the reverse mortgage. The senior citizen population in our country is growing at an incredible rate and that growth will most certainly continue. The vast majority of these senior homeowners today want to stay in their homes as long as possible. They have built a lifetime of memories and have a real attachment to the house. But the financial challenges that many seniors face today are making it difficult for them to make ends meet. In fact, those seniors 85 years of age and older represent the fastest growing group in financial trouble. The reverse mortgage is the answer for many of these folks today. With a reverse mortgage, a senior homeowner, age 62 and over, takes a portion of the equity out of the primary residence and is not obligated to pay it back as long as they live in the home.

Unlike traditional “forward” mortgages, it is very easy for a senior citizen to qualify for a reverse. There are no income, asset, or credit score requirements. Even a senior who has had a bankruptcy may be able to obtain a reverse mortgage. One of the biggest selling points of a reverse is the fact that it is a “non-recourse” loan. If the senior is upside down (owes more than the value of the house) at the time the loan is paid off, neither the senior nor the heirs can be held liable for the deficiency.

The borrower may use the proceeds of a reverse mortgage for virtually any purpose. Supplementing monthly income, paying off a current mortgage (and thus eliminating the principal and interest payment) and paying for needed medications or in home medical care are among some common uses. However, as the reverse mortgage products on the market today gain more recognition, new and creative uses are emerging. Charitable giving, financing college for grandchildren, travel, and home renovation have become more and more popular in recent years. There are products available to suit the needs of practically every senior homeowner. From the modest, inexpensive property, to a multi million dollar country estate, the reverse mortgage can be the right solution.

Recent estimates indicate that the coming generation of seniors, the baby boomers (those born between 1946 and 1964) have not saved for retirement as perhaps they should have. That fact, coupled with the changes in Medicaid regulations may make reverse mortgages attractive to many senior homeowners in the very near future. Increasing public awareness and education along with the safeguards built into the program has fueled the growth of this product and that growth is expected to continue, and is in fact, poised to explode within the next few years. In fiscal year 2006, there were over 76,000 reverse mortgages made in our country and that figure represents a significant increase over the 43,000+ reverse mortgages the year before. But we have just barely scratched the surface of the potential for this product.

F

e that is the fastest growing product that the mortgage market has ever seen? A product that is adding thousands of new prospects each and every day…and can literally change the lives of your borrowers and change your bottom line.

In case you haven’t guessed, I am talking about the reverse mortgage. The senior citizen population in our country is growing at an incredible rate and that growth will most certainly continue. The vast majority of these senior homeowners today want to stay in their homes as long as possible. They have built a lifetime of memories and have a real attachment to the house. But the financial challenges that many seniors face today are making it difficult for them to make ends meet. In fact, those seniors 85 years of age and older represent the fastest growing group in financial trouble. The reverse mortgage is the answer for many of these folks today. With a reverse mortgage, a senior homeowner, age 62 and over, takes a portion of the equity out of the primary residence and is not obligated to pay it back as long as they live in the home.

Unlike traditional “forward” mortgages, it is very easy for a senior citizen to qualify for a reverse. There are no income, asset, or credit score requirements. Even a senior who has had a bankruptcy may be able to obtain a reverse mortgage. One of the biggest selling points of a reverse is the fact that it is a “non-recourse” loan. If the senior is upside down (owes more than the value of the house) at the time the loan is paid off, neither the senior nor the heirs can be held liable for the deficiency.

The borrower may use the proceeds of a reverse mortgage for virtually any purpose. Supplementing monthly income, paying off a current mortgage (and thus eliminating the principal and interest payment) and paying for needed medications or in home medical care are among some common uses. However, as the reverse mortgage products on the market today gain more recognition, new and creative uses are emerging. Charitable giving, financing college for grandchildren, travel, and home renovation have become more and more popular in recent years. There are products available to suit the needs of practically every senior homeowner. From the modest, inexpensive property, to a multi million dollar country estate, the reverse mortgage can be the right solution.

Recent estimates indicate that the coming generation of seniors, the baby boomers (those born between 1946 and 1964) have not saved for retirement as perhaps they should have. That fact, coupled with the changes in Medicaid regulations may make reverse mortgages attractive to many senior homeowners in the very near future. Increasing public awareness and education along with the safeguards built into the program has fueled the growth of this product and that growth is expected to continue, and is in fact, poised to explode within the next few years. In fiscal year 2006, there were over 76,000 reverse mortgages made in our country and that figure represents a significant increase over the 43,000+ reverse mortgages the year before. But we have just barely scratched the surface of the potential for this product.

ing group in financial trouble. The reverse mortgage is the answer for many of these folks today. With a reverse mortgage, a senior homeowner, age 62 and over, takes a portion of the equity out of the primary residence and is not obligated to pay it back as long as they live in the home.

Unlike traditional “forward” mortgages, it is very easy for a senior citizen to qualify for a reverse. There are no income, asset, or credit score requirements. Even a senior who has had a bankruptcy may be able to obtain a reverse mortgage. One of the biggest selling points of a reverse is the fact that it is a “non-recourse” loan. If the senior is upside down (owes more than the value of the house) at the time the loan is paid off, neither the senior nor the heirs can be held liable for the deficiency.

The borrower may use the proceeds of a reverse mortgage for virtually any purpose. Supplementing monthly income, paying off a current mortgage (and thus eliminating the principal and interest payment) and paying for needed medications or in home medical care are among some common uses. However, as the reverse mortgage products on the market today gain more recognition, new and creative uses are emerging. Charitable giving, financing college for grandchildren, travel, and home renovation have become more and more popular in recent years. There are products available to suit the needs of practically every senior homeowner. From the modest, inexpensive property, to a multi million dollar country estate, the reverse mortgage can be the right solution.

Recent estimates indicate that the coming generation of seniors, the baby boomers (those born between 1946 and 1964) have not saved for retirement as perhaps they should have. That fact, coupled with the changes in Medicaid regulations may make reverse mortgages attractive to many senior homeowners in the very near future. Increasing public awareness and education along with the safeguards built into the program has fueled the growth of this product and that growth is expected to continue, and is in fact, poised to explode within the next few years. In fiscal year 2006, there were over 76,000 reverse mortgages made in our country and that figure represents a significant increase over the 43,000+ reverse mortgages the year before. But we have just barely scratched the surface of the potential for this product.

for the deficiency.

The borrower may use the proceeds of a reverse mortgage for virtually any purpose. Supplementing monthly income, paying off a current mortgage (and thus eliminating the principal and interest payment) and paying for needed medications or in home medical care are among some common uses. However, as the reverse mortgage products on the market today gain more recognition, new and creative uses are emerging. Charitable giving, financing college for grandchildren, travel, and home renovation have become more and more popular in recent years. There are products available to suit the needs of practically every senior homeowner. From the modest, inexpensive property, to a multi million dollar country estate, the reverse mortgage can be the right solution.

Recent estimates indicate that the coming generation of seniors, the baby boomers (those born between 1946 and 1964) have not saved for retirement as perhaps they should have. That fact, coupled with the changes in Medicaid regulations may make reverse mortgages attractive to many senior homeowners in the very near future. Increasing public awareness and education along with the safeguards built into the program has fueled the growth of this product and that growth is expected to continue, and is in fact, poised to explode within the next few years. In fiscal year 2006, there were over 76,000 reverse mortgages made in our country and that figure represents a significant increase over the 43,000+ reverse mortgages the year before. But we have just barely scratched the surface of the potential for this product.

icate that the coming generation of seniors, the baby boomers (those born between 1946 and 1964) have not saved for retirement as perhaps they should have. That fact, coupled with the changes in Medicaid regulations may make reverse mortgages attractive to many senior homeowners in the very near future. Increasing public awareness and education along with the safeguards built into the program has fueled the growth of this product and that growth is expected to continue, and is in fact, poised to explode within the next few years. In fiscal year 2006, there were over 76,000 reverse mortgages made in our country and that figure represents a significant increase over the 43,000+ reverse mortgages the year before. But we have just barely scratched the surface of the potential for this product.

For those loan originators who decide to specialize in this niche, the rewards will be many. Seniors are among the most loyal consumers around and they will prove to be a consistent source of future referrals. Why not specialize in this niche and become the local expert in this innovative product that is making a real difference in the lives of so many senior homeowners today? It will be a financially and personally rewarding experience, I promise you.