Changes in the Reverse Mortgage Market
Adapting to any given situation is essential for survival. Like many of us, I had to adapt during the 2007-2009 recession or perish like the rest of them. It’s not so much a choice anymore when financial burdens are breathing down your neck but it’s also an important part of life.
When we were young, we had to adapt from being with our parents every hour of every day to being with our teachers for most of the day. As teenagers, we had to adapt to getting a job and spending more time with teachers and bosses than our parents. As adults, we had to adapt to life and its many responsibilities. If we went to college, we had to get a job, survive on our own, branch out. And if we didn’t, well, we still had to do the same things, just in a different way.
The point is: adaptation.
It’s crucial for survival. If evolution demonstrates anything is that we have been adapting for millions of years. As new problems and challenges presented themselves, we came up with new solutions to combat them. We adapted and here we are, still surviving.
Now it’s time to adapt again. With the end of the reverse mortgage program (as we know it), all that remains to be seen is who is left standing when the smoke clears. During the recession, many “big name” banks opted out of the reverse mortgage program leaving smaller lenders and independent brokers to pick up the slack.
To me, that was more advantageous to the consumer because they went from being a file on a desk to being a person, who got their questions answered in a timely manner and received the customer service they had been yearning for.
It’s not to say the recession was a good thing, of course not, but good things did come out of it. The implications of the upcoming changes have yet to be seen but I think something good will come out of it too. It’s the same as anything else.
It’s like when everyone panicked and thought the radio would die after the television set gained popularity. Guess what? They’re both still here and they have managed to adapt. As network television will have to adapt to the growing hordes of online viewers, so will the reverse mortgage.
We have to, there’s no other way to survive . It’s not so much about being outdated or archaic in the way you do things, but there will be others coming to pick up where you left off.
The question is, will you be there, next to them, or behind them silently watching?
Click here for more information about the elimination of the reverse mortgage program as we know it: