Wells Fargo Remains Nation's No. 1 Reverse Mortgage Retail Originator

Date Posted: Thursday, February 11, 2010

Wells Fargo retained the top spot as the nation’s leading retail originator of reverse mortgages. In 2009, the company helped more than 20,000 senior Americans secure nearly 18% of all reverse mortgages originated in the country. This represents 5% growth over 2008 totals.

Tim McDonald, vice president, Wells Fargo Senior Products Group, called the Home Equity Conversion Mortgage (HECM) a great choice for older adults struggling to find enough income to help fund everyday living costs and health care expenses.

“Even modest homes have the potential to generate over $500 in monthly proceeds – as long as the senior lives in the home as the primary residence, keeps his or his taxes and insurance current and maintains the house to FHA standards. That amount of money can make a big difference in the lifestyle of someone in retirement.”

Recent AARP information shows that 85% of older Americans want to age in place – meaning they want to stay in their homes. A reverse mortgage can be the key to ensure that a senior is financially able to make this dream a reality.

McDonald attributes the growth of reverse mortgage usage to several factors, including that seniors have greater awareness and understanding of the reverse mortgage loan product and the aging U.S. population – currently, some 34 million Americans are over the age of 65. By year 2050, the projection is that 86.7 million Americans will be 65 and older.

“Reverse mortgages offer an effective way for seniors to supplement income and secure financial independence,” he added.

Wells Fargo has a consumer-friendly Web site and online reverse mortgage calculator to help seniors and their trusted advisers learn more about reverse mortgages, download educational materials and calculate an estimate of how much a reverse mortgage could provide at retirement. You can find it at www.wellsfargo.com/reverse.