After financial planner Jill Schlesinger highlighted what she believes to be reverse mortgage deficiencies in a recent radio interview, John Lunde, president of Reverse Market Insight responded by indicating flaws in her reasoning, according to a recent Reverse Mortgage Daily report.
The WBUR radio interview touched upon some of the criticisms Schlesinger has with the reverse mortgage product, some of which she highlighted in a new book titled: "The Dumb Things Smart People Do With Their Money: Thirteen Ways To Right Your Financial Wrongs."
"When you see anything advertised really late at night when you have insomnia, it’s probably a pretty good idea to avoid that," said Schlesinger in the interview, according to RMD.
"I put gold in that category, reverse mortgages in that category — I mean every washed-up, B, C star ends up being in these commercials."
It wasn't just the ads that were part of her criticisms of the industry. She cited Sandy Jolley, a consumer advocate and national expert on reverse mortgages, who Schlesinger says has plenty of horror stories about reverse mortgages.
In response to Jolley being mentioned, Lunde believes that there should be context added here. He suggested that the number of "horror stories" should be compared to the over 1 million loans originated in America, according to the report.
Lunde suggests that there are plenty of good stories that could combat some of those horror stories. He would also go on to address the characterization of fees that go with reverse mortgages and the Florida foreclosure story Schlesinger highlighted in her interview.
To learn more about Schlesinger's interview and Lunde's response, click on the image above.