Reverse Mortgage Funding LLC Pauses Originations. It Tells Partners It Won’t Fund Loans That Haven’t Already Closed
Reverse Mortgage Funding LLC (RMF) has halted all of its origination activities Monday.
The New Jersey based lender sent a letter addressed to its partners states that, “all loans that have not closed will no longer be processed.”
An RMF spokesperson said that its affiliates made the difficult decision to pause mortgage origination activities.
The statement added that RMF has been working diligently with its constituents to support its business. In addition, the company said that it is doing everything possible to weather these challenging market conditions.
The company did not address rumors that it had lost its warehouse funding lines. It also declined to answer questions about the impact of the origination pause. This includes how it might affect its employees and the volume of originated loans in its pipeline.
Mobility Market Intelligence says RMF’s current-year loan volume totaled $3.23 million. Third-party originated mortgages totaled approximately $7 billion. It’s Top 4 TPO partners include Reverse Freedom LLC and Dale Ernst Tillman. FSI Mortgage LC and Reverse Mortgage Educators finished out the top four.
Reverse Market Insight reports that RMF was the nation’s fifth-largest reverse mortgage originator at the end of October. The company also had a market share of 7.4%. That was down from 10.5% at the same point last year.
RMF sponsors 175 licensed mortgage loan originators, according to the Nationwide Multistate Licensing System (NMLS). The company is licensed to operate in all 50 states. Overall, RMF employs more than 300 people, according to various career websites.
RMF was formed in Delaware in September 2012. The company has 64 branch locations in 29 states and maintains 10 reverse mortgage websites.
It offers both reverse mortgages and home equity conversion mortgages (HECMs), including HECMs at fixed and adjustable rates.