Today, Generation Mortgage Company announced the introduction of their Generation Plus(TM) jumbo reverse mortgage program. This program differs slightly from the other jumbo programs in the market by lowering the margin to 3.125% instead of the standard 3.5%. However, the margin is based off of the 1-Month Libor instead of the 6-Month Libor like the other jumbo products out in todays market. Jim Morris, the CEO of Generation Mortgage says, “With this offering, a typical 75- year old borrower whose home is valued at $750,000 will gain approximately $25,000 in additional funds compared to other jumbo loan products.” Currently this program is being offered for homes appraised for a minimum of $200,000 and a maximum of $4 Million.
The program also has an option to use the Generation Plus 90 Plan (TM) which enables borrowers to eliminate both the origination fee and all closing costs (exept state and local taxes, if any). This option does require an initial advance of 90% or more of the total available funds, but it’s still better than a few of the competitiors out who require 100% to be withdrawn at closing.
To view a copy of the press release click here