Several RMD readers have been asking if EquityKey is still accepting applications for its reverse mortgage alternative product and the answer is “Yes”. According to Equity Key’s Janis Jarosz, VP of Marketing, October was the company’s strongest application month yet.
While the company is still accepting applications, they have suspended funding for new applicants until the new year. “We could resume funding before that, or it could extend into a period of time next year, but for planning purposes we’ve communicated that people shouldn’t anticipate a resumption in funding until at least January 1, 2009,” said Jarosz.
Equity Key is owned by Belgium based KBC Financial Products, which also owns the Senior Lending Network. SLN also suspended funding of its proprietary products and doesn’t expect to accept any new applications until January 1st, 2008.
I’ve spoken with several reverse mortgage originators who have started offering the product since jumbos have disappeared and their clients have been very happy. Even when a few jumbo options were around, for some borrowers Equity Key’s product made more sense than a jumbo reverse mortgage.
Equity Key is expanding into new states, so if you have clients with higher home values, this might be a good option for them.