New Jersey-based mortgage lender Nationwide Equities today announced it has entered the closed loan hybrid business for reverse mortgages. The company launched a wholesale channel in September 2011 and says the new closed loan business was a natural progression after success in working with third-party originators.
The company’s size and customer interactions have been paramount in launching the new business channels, company executives say.
“We can all offer top pricing, but can you get the loan closed?” says Len Oslar, Nationwide Equities senior vice president, who mans the company’s live help desk to address questions. “We feel it is important to have a senior person on the front lines working with the brokers and their deals,” he says, citing the company’s 90% pull through rate.
The new hybrid program will cover clients that have their own warehouse capability and close loans in their own name, with Nationwide Equities performing the underwriting. Nationwide underwrites within 48 hours of submission and conditions are cleared within 24 hours, the company says. The wholesale client pulls its own closing documents and funds closing, then Nationwide equities purchases the loan within 48 hours of receiving the closing package.
“Offering a closed loan program is usually reserved for the ‘Big Boys’,” says Glenn Wallace, Nationwide president. While several large lenders offer closed loan programs, Nationwide Equities considers itself a “boutique” lender due to its size.
“We can provide pricing that’s competitive, and service that large lenders generally can’t,” Wallace told RMD. “We’re a flat organization without a lot of bureaucracy.”
The hybrid program will be offered in the company’s six-state market including New York, New Jersey, Connecticut, Pennsylvania, Florida and Maine. In addition to its closed loan program and wholesale channel, the company is also ramping up efforts in its retail business.
Nationwide Equities has risen to No. 14 on the top reverse mortgage lenders list as of February 2012.
Written by Elizabeth Ecker