Mahwah, N.J.-based top-20 reverse mortgage lender Nationwide Equities is expanding the reach of its proprietary EquityPower reverse mortgage offering to all qualified broker partners, after a successful February roll-out to its retail division and select brokers. EquityPower is a fixed-rate, lump-sum product which allows borrowers to access greater proceeds than the traditional Home Equity Conversion Mortgage (HECM) allows.
Prior to a wholesale roll-out, Nationwide wanted to make sure that the new proprietary offering would meet internal standards, according to company president Glenn Wallace.
“Before rolling out EquityPower on a wholesale basis we wanted to make sure that we could truly live up to our company motto, offering the best in price, the best in product and the best in service,” Wallace told RMD.
EquityPower is currently available in five states and the District of Columbia. The available states are California, New Jersey, Florida, Texas and Illinois. Illinois is a more recent addition, and the state has been added since the initial roll-out of the product. The company is currently planning to roll out to new states at a steady pace as well as adding at least one new major feature to the offering, according to Nationwide CEO Paul Lamparillo.
“Our goal is to add two new states per month,” he said. “At this time, the product is a fixed lump-sum loan with a maximum UPB of $4 million. We do plan on adding a line-of-credit in the near future, but we are taking things one step at a time.”
Nationwide is promoting EquityPower as its primary reverse mortgage product, with a focus on offering competitive pricing and fast turnaround times on loan underwriting and conditions, the company said. Providing a product with these areas of focus helps to differentiate EquityPower among its competitors, Wallace said.
“I have been in the business for 42 years now and recognize that pricing is meaningless if you can’t get your loan closed, and, without frustrating conditions,” he told RMD. “So, we’ve put together common sense underwriting guidelines and mandated turn times for conditions and closings.”
EquityPower is available to borrowers 60 years of age or older, and Nationwide Equities offers a Help Desk to assist with timely closings.
In appealing to its receptive segment of borrowers, NWE touts the efficiency of EquityPower in comparison with comparable HECM offerings, while also marking a potential proprietary fit for clients with higher home values, or condominium owners who may not have qualified for other reverse mortgage offerings.
As of December, 2019, Nationwide Equities ranked at number 20 on a list of the top 100 reverse mortgage lenders by wholesale and retail HECM volume, tabulated by Reverse Market Insight.