Posted by LisaWI on 7/21/11 9:40pm
Msg #390554

Wells Fargo Reverse Mortgages

If this is old news I apologize for reposting. I did 2 RM's between yesterday and today. The gentleman who helped these folks get their RM's was telling me that Wells Fargo is discontinuing their RM program as of Sept. He also told me there are other lenders who will not be doing RM's anymore BOA being another one. Apparently, people are walking away from their houses owing taxes and its causing problems. He said especially in California and Florida. I think he said MetLife is going to continue their RM programs.

Reply by MW/VA on 7/21/11 9:46pm
Msg #390555

WF stopped applications as of June 30th & will close anything in the pipeline until Sept. 30, siting changes in market conditions. I know some people who did RM's a couple of years ago when the market was high. They have now taken out more equity than the property is currently valued at (upside down in an RM). That means potential losses for the lenders.

Reply by Stamper_WI on 7/22/11 7:55am
Msg #390630

Would some one know if this is why they RM's have such high MI's?

Reply by Virginia/PA on 7/24/11 2:22am
Msg #390919

Did a reverse mortgage signing last week and the daughter of the owners said PNC Bank was getting into the reverse mortgage business. Don't know if she's accurate, but she did indicate that was happening. Don't know if PNC Bank is well known in other areas, but it is well known in my area.