Reverse purchase financing or the “Home Equity Conversion Mortgage (HECM) for Purchase loan program,” can help older homebuyers improve their financial flexibility when purchasing a new home and help real estate professionals expand their business within a fast-growing segment of the market. Yet despite the opportunities this option presents, staggeringly few are aware of it’s existence.
At Longbridge, we’re committed to changing this – and our efforts start with educating both homebuyers and real estate professionals on reverse purchase financing.
Our very own National Purchase & Builder Sales Leader, Rob Cooper, recently shared his thoughts with HousingWire on the many benefits reverse purchase financing represents.
For senior homebuyers facing challenges such as market volatility, unpredictable interest rates, and limited purchasing power due to increasing debt, reverse purchase financing has the potential to boost purchasing power and be a true game-changer. So, why are so few homebuyers and agents aware of this option?
“The truth is the real estate industry hasn’t really needed to learn about this financing option over the past decade. We have experienced one of the longest ‘seller’s markets’ in our country’s history, so there wasn’t an immediate need for real estate professionals to educate themselves on financing tools beyond traditional mortgages or all-cash transactions,” Cooper said.
“They have been able to reach sales goals with relative ease for over a decade. But economic forecasts and housing market predictions suggest that businesses need to be prepared for another shake-up in the near future. And reverse purchase financing may finally find its rightful place within these industries,” he continued.
Read the full article in HousingWire to learn how Longbridge Financial is making strides in expanding educational efforts to help both homebuyers and real estate professionals realize the benefits of reverse purchase financing.