North Carolina Credit Union Completes Funding $5 Million in Proprietary Reverse Mortgages
A credit union in North Carolina, has completed funding of more than $5 million of reverse mortgages since August last year, when it launched a private-label reverse-mortgage product.
The Raleigh, NC, based company State Employees’ Credit Union issued a statement saying it has funded nearly 50 reverse mortgages. SECU offers a reverse mortgage program that is not insured by the FHA (Federal Housing Authority). The reverse mortgage available to senior home owners aged 62 or above, has a fixed rate of interest with simple accrual, a 1% origination fee and doesn’t need payment of mortgage insurance premium (MIP) or monthly service fees.
This reverse mortgage product was developed in coordination with the North Carolina Commissioner of Banks, the North Carolina Housing Finance Agency, the North Carolina AARP, Retired Government Employees Association, and Resources for Seniors, a counseling group.
The senior VP of SECU loan administration, Phil Greer, said that the credit union developed a loan by itself after a lot of research made on the standard available reverse mortgage products. The resulting reverse mortgage loan provides more available funds to members for meeting daily living expenses.
The SECU is a not-for-profit cooperative that serves 1.5 million members in 223 branches across the country.
