Reverse mortgages are becoming increasingly appealing to forward mortgage lenders, given the ever-rising interest rates. Companies are looking to diversify their offerings in order to generate more revenue. However, forward lenders are also turning to reverse mortgages as another career path.
"With traditional mortgage rates hovering around 5%, forward loan volume has dropped, taking jobs in its path," according to Reverse Mortgage Daily.
"According to a recent article from the New York Post, Wells Fargo, JPMorgan Chase, Movement Mortgage, and USAA have collectively cut more than 1,400 forward mortgage jobs, and if interest rates continue their climb, more jobs could be on the line."
According to the report, companies have been trying to get forward loan originators to enter the reverse mortgage market.
"San Diego-based C2 Financial Corp. has 600 loan officers, 130 of whom have gone through the reverse mortgage training offered by the company’s reverse division, C2 Reverse," according to RMD.
"Of the 130, about 50 of these loan officers focus on reverse as a main part of their business, and 20 work exclusively with reverse mortgages, Christina Harmes, assistant manager for C2 Reverse, told RMD."
To learn more about forward loan lenders and their interest in the reverse mortgage market, click on the image above.