Dec 08 / Jan 09

THE

REVERSE review

Lessons
Learned
from
2008
Bre$
Varner
PAGE “It’s easy to stand tall when everything is going your way, but the true test of man is how

24 he reacts when tested by difficult challenges.” It’s no secret that 2008 has proven to be a
tough year. With the economy continuing to spiral downward and the real estate markets
experiencing a greater blow than ever before; it’s more important now to reflect on the past
year, learn from the challenges we faced and prepare for 2009.
 THE

REVERSE review
Co-Editors Aman
Makkar
&
Erica
English

Copy Editor Harpreet
Makkar

Design & Production Jason
Westbrook

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4 reversereview.com
 editors’ note

Thank
you
to
all
the
authors
who
have

shared
their
thoughts
and
experiences

with
our
audience.
It
has
been
nine

months
of
growing
in
this
in1mate,

bou1que
space
of
reverse
mortgages

and
we
can
only
imagine
what
2009


A
will
bring
for
content.
We
appreciate

each
and
everyone’s
support
in
helping

us
communicate
your
messages

through
this
publica1on.

At
the
end
of
this
roller
coaster
year,

our
message
is
simple:
The
best
holiday

gi`
we
can
imagine
is
a
contribu1on

s
you
know,
it’s
 to
the
less
fortunate,
regardless
of
the

been
a
pre:y
wild
year.
Whew!
We
have
 organiza1on
you
choose
to
support,

had
our
share
of
challenges
in
2008
with
the
 give
thoughaully
and
gemannerously.

greatest
financial
crisis
in
our
na1on’s
history
 From
all
of
us
at
The
Reverse
Review,

and
a
new
President
about
to
take
on
HUGE
 we
wish
you
a
happy
and
prosperous

responsibili1es.
While
we
try
to
remain
calm
in
 2009.
a
posi1ve
way,
there
is
HOPE
for
2009,
and
it’s

right
around
the
corner.

All
things
considered,
we
are
fortunate
to
be
in

the
reverse
mortgage
industry.
For
most
of
us,

business
has
been
stable
and
growing.
It
may
 Erica
English
 Aman
Makkar
not
have
grown
as
an1cipated,
but
at
least
we
 Co‐Editor
 Co‐Editor
haven’t
seen
significant
declines
in
volume.
We

must
look
back
at
2008
and
appreciate
what

we
have.

Dec 08 / Jan 09 5
CONTENTS

8 The
Birth
of
a
New
 16 Moving
Forward
in
 28 The
Reverse
Mortgage


Industry Reverse
2009
... Marke1ng
Plan
Michael
Banner Avoid
the
Following
 Tom
Emmerson
Errors
Sam
Collins 34 Year
for
the
Record

Books
14 How
Reverse
 19 Time
Management
 Weiner
Brodsky
Sidman

Mortgages
Can
Boost
 and
Sales
Produc1vity
 Kider,
PC
Obama’s
Call
to
 Monte
Rose
Service 40 A
Guide
to
Following

24 Lessons
Learned
From
 Up
Atare
E.
Agbamu,
CRMS 2008 Valerie
VanBooven
Bre:
Varner

ESSENTIALS
5 Note
From
the
Editor 7 Ask
the
Underwriter 12 Industry
Snapshot

45 Directory

6 reversereview.com
 ask the underwriter
Ralph
Rosynek

Many
of
us
try
to
change
our
lives
with
huge
correc1ve
 ...not
to
undertake
a
manufactured
home
as
my
first
loan

inten1ons
to
undertake
at
the
beginning
of
the
New
Year.
Alas,
 submission,
to
know
about
tags,
founda1on
inspec1ons
and

one
chilly
January
night
we
find
ourselves
sipping
on
a
drink,
 issues
related
to
this
collateral
form
which
if
le`
una:ended
to

with
lit
cigare:e
in
hand
having
just
completed
a
high
calorie,
 will
result
in
frustra1on
for
all
of
the
loan
par1cipants...
high
fat,
sinfully
indulging
meal
which
we
resolve
to
ourselves

...to
remember
that
size
ma:ers
when
it
comes
to
photocopies

resulted
from
too
much
pressure
to
go
cold
turkey
on
all
of
the

of
iden1fica1on
documenta1on
for
the
borrower
including

good
stuff
in
life
in
a
short
moment
of
1me!!

No
willpower.
pictured
id’s,
drivers
licenses,
social
security
cards,
and
other

For
2009,
now
that
you
have
probably
broken
most
of
your
sole
 proof
of
iden1ty
documents...
searched
thoughts
from
2008,
why
not
reinvent
your
resolu1on

...to
ask
ques1ons
about
my
borrower’s
primary
residence
with

list
and
take
a
focused
approach
on
the
reverse
mortgage

regard
to
the
roof,
the
electrical,
the
well,
the
sep1c
system,

ac1vity
you
do
so
well.
the
HVAC
systems,
the
structure
and
needed
repairs
before
the

We
forgive
you
for
breaking
your
resolu1ons
so
quickly,
and
 appraisal
is
ordered...
know
you
will
try
again
next
year,
but,
you
are
not
off
the
hook.

...to
both
take
good
notes
and
pass
on
helpful
informa1on

Take
the
resolu1on
pledge
below
as
your
punishment
for
that

notes
to
my
processor
and
underwriter...
piece
of
cheesecake
you
just
ate
a`er
midnight
on
December

31,
2008. ...to
assist,
to
speak
with
my
borrowers
and
keep
them
up

to
date
with
the
status
of
their
file
and
quickly
obtain
any

My
hope
for
the
New
Year
is
that
we
are
a
smarter,
more

addi1onal
needed
informa1on...
efficient,
more
focused
provider
of
reverse
mortgage
products

and
resources
for
the
senior
in
2009.
I
would
like
you
to
 ...to
be
tolerant
and
pleasant
when
overcoming
objec1ons

consider
reaffirming
your
internal
will,
by
standing,
put
down
 by
my
processor
and
underwriter
that
the
informa1on
I
have

your
fork,
raise
this
ar1cle
eye‐level
with
one
hand,
and
raise
 provided
is
not
sufficient
to
answer
a
ques1on
or
sa1sfy
a

the
other
hand
past
the
table
while
reading
aloud: condi1on...
I
resolve,
to
be
the
best
reverse
mortgage
loan
originator
I
can
 ...to
properly
verify
funds
to
close
or
source
of
down
payment

be... on
all
files...
...to
place
the
needs
of
the
senior
as
my
borrower
above
my
 ...to
con1nue
to
educate
myself,
to
seek
available
training
to

own,
to
assist
them
in
every
way
I
can
with
issues
of
remaining
 enhance
my
origina1on,
processing
or
underwri1ng
skills...
in
their
home
and
a:aining
financial
stability...
...to
review
my
applica1on
package
before
I
turn
it
in,
to
make

...to
originate
be:er,
to
be
more
accurate
and
complete
in
what
 sure
signatures
are
complete
and
the
informa1on
contained

I
put
into
their
loan
applica1on
package….. therein
is
factual
and
able
to
be
verified...
...to
fill
in
all
of
the
boxes
on
the
1009... ...to
assist
with
ma:ers
of
1tle
by
asking
for
needed
releases,

evidence
of
lien
payments
and
mortgage
related
issues...
...to
ask
the
right
ques1ons,
to
know
what
my
borrower
truly

wants
by
providing
my
borrower
with
choices
and
solu1ons
that
 ...to
be
aware
of
declining
values
in
my
marketplace
and

meet
their
needs... understand
my
appraiser
is
using
the
best
informa1on

available...
...to
read
the
Important
Terms
document
and
be
able
to
explain

LIBOR,
CMT
and
the
Fixed
Rate... ...to
make
sure
I
am
aware
of
insurance
issues
related
to
flood

and
hazard
coverage
and
the
mortgagee
clause...
...to
ask
detail
ques1ons
as
to
the
credit
profile
of
the
borrower

so
my
processor
or
the
underwriter
won’t
be
surprised... And
lastly,
I
resolve
to
resolve
that
I
shall
keep
my
list
of

reverse
mortgage
resolu1ons
handy
when
I
fear
a
moment
of

...to
ask
for
complete
copies
of
trusts,
death
cer1ficates,
POA’s,

weakness…..
and
other
informa1on
that
will
expedite
the
approval
and

closing
of
my
borrower’s
file... Wishing
you
a
healthy
and
prosperous
new
year…..

Dec 08 / Jan 09 7
 The
Birth
of
a
new

Industry
Michael
Banner

In
a
time
when
the
entire
financial
industry,
specifically
the

mortgage
industry,
is
under
an
unprecedented
restructuring

there
seems
to
be
a
shining
light.


In
fact,
it
is
during
the
toughest
of
times
that
new
industries

themselves
materialize,
new
giants
emerge
and
new
ideas

create
unlimited
opportunities
that
have
always
been
right
there

in
front
of
us,
yet
remained
virtually
untapped.

In
today’s
highly
volatile
financial
 certified
financial
planners
can
accomplish
all

environment
the
Reverse
Mortgage
certainly
 of
this,
and
so
much
more.

seems
to
boldly
go
where
no
mortgage
has

gone
before… Already,
many
trusted
advisors,
throughout

the
financial
industry,
have
realized
the

Yet
this
staggering
product,
that
offers
so
 power
of
reverse
mortgages
and
are
turning

much
relief
to
the
segment
of
our
society
that
 to
them
as
the
answer
for
their
senior
clients.

deserves
it
the
most,
our
seniors,
seems
to
 In
addition
to
certified
financial
planners,

still
be
so
widely
misunderstood.
 long
term
care
insurance
agents,
elder

care
and
estate
attorneys
and
many
more

This
raises
a
very
interesting
question.

Is
 are
increasingly
asking
themselves:
Are

the
conventional
mortgage
industry
the
best
 reverse
mortgages
really
that
good?
Can

vehicle
to
bring
this
amazing
product
to
the
 we
really
use
them
for
so
many
purposes?

seniors
of
our
country?
 Are
my
clients
truly
not
obligated
to
make

a
payment
in
their
lifetime?
Moreover,
their

Even
today,
so
much
remains
unknown
 most
important
question:
Can
we
offer
this

about
the
strength
of
this
financial
tool.
 product?
Can
this
be
a
part
of
our
product

Now,
the
light
of
knowledge
is
beginning
to
 menu
for
our
senior
clients?
illuminate
its
many
options,
almost
endless

uses,
and
most
importantly,
that
if
used
 As
a
career
mortgage
banker,
27
years

correctly,
it
can
protect
the
client’s
current
 this
month,
it
has
always
bothered
me
that

assets,
and
in
many
cases,
create
more
 the
mortgage
professional
has
always

wealth.
This
knowledge
has
spread
to
the
 been
looked
at
as
“the
lowest
rung
on
the

financial
planning
industry,
giving
seniors
 financial
professional
ladder.”

I
know,
we

the
ability
to
purchase
badly
needed
long- don’t
like
discussing
it,
nobody
ever
writes

term
care
insurance,
purchase
life
insurance
 about
it,
but
we
all
know
it.
So
do
we
deserve

potentially
transforming
their
children’s
 this
reputation?

This
mortgage
guy
says

inheritance
into
a
legacy
and
even
giving
 “definitely
not!

For
over
two
decades
now

some
of
that
inheritance
right
now
while
 independent
mortgage
brokers
and
mortgage

they
are
alive
and
able
to
enjoy
the
benefits
 bankers
have
originated
more
mortgages

with
their
families.

Trusted
advisors
such
as

in
this
country
than
every
commercial
and

savings
bank
combined.

You
would
think
that
sta1s1c
would
 The
answer
is
simple
but
not
something
the
conforming

be
enough
to
take
us
pre:y
seriously.

But
they
don’t… mortgage
world
likes
to
hear.

Senior
ci1zens
are
fine

discussing
a
mortgage
with
a
mortgage
person
but
they’re

We
all
agree,
the
Reverse
Mortgage
industry
is
in
its
infancy.
 not
comfortable
discussing
their
financial
future
with
them.


Well,
if
the
Reverse
Mortgage
is
the
infant
then
that
makes
 Addi1onally,
their
children
are
not
comfortable
with
it.
They

us,
the
conven1onal
mortgage
world,
the
parents…and
like
 are
however,
very
comfortable
discussing
their
long
term

all
good
parents
we
have
to
make
sure
our
infant
gets
every
 care
needs,
their
trust,
their
life
insurance
&
investment

possible
opportunity
to
grow
and
do
the
best
it
can
for
the
 needs
with
their
financial
planner,
a
long
term
care
provider,

greatest
number
of
people.

 their
elder
care
a:orney
or
any
number
of
trusted
senior

advisors.
To
this
day,
the
tradi1onal
banking
and
mortgage
banking

channels
originate
the
great
majority
of
the
reverse
 In
these
incredibly
vola1le
economic
1mes
the
Reverse

mortgages
in
this
country.
A`er
all,
the
reverse
mortgage
is
 Mortgage
is
the
product
trusted
senior
advisors
need
to

…a
mortgage!
But
it
is
also
undeniably
the
most
innova1ve
 guarantee
the
highest
quality
of
life
possible
to
their
senior

financial
planning
tool
introduced
to
the
senior
segment
of
 clients.
this
na1on
in
decades.



Almost
one
year
ago
MetLife,
one
of
the
na1on’s
oldest

As
stated
in
the
very
first
paragraph
of
this
ar1cle,
the
 and
largest
insurance
companies,
announced
its
acquisi1on

mortgage
industry
is
in
the
midst
of
a
total
restructuring.

 of
EverBank
Reverse,
one
of
the
most
successful
reverse

Why
not
use
this
restructuring
to
allow
the
mortgage
 mortgage
wholesalers
in
the
na1on.
Dan
DeKeizer,
vice

industry
to
change,
to
grow,
to
evolve,
and
to
take
its
proper
 president
&
actuary
of
MetLife
Re1rement
Strategies
Group,

place
in
the
financial
industry. said
at
the
1me,
“the
focus
of
MetLife
Bank
is
on
helping

seniors
maximize
their
re1rement
income,
including
helping

The
Reverse
Mortgage
is
the
product
that
will
allow
us
to
do
 them
convert
their
assets
into
income
to
support
the
lifestyle

just
that.

 they
want.”
He
also
noted,
“That
for
many
Americans
aging

in
place
is
important
to
them
and
a
Reverse
Mortgage
is
a

Throughout
this
country
there
are
millions
of
financial
 natural
solu1on.”

Donna
DeMaio,
President
of
MetLife
Bank,

planners,
life
insurance
agents,
long
term
care
insurance
 added,
“The
acquisi1on
of
EverBank
Reverse
will
help
us

agents,
long
term
care
providers,
in
home
care
providers
 rapidly
grow
this
business
and
strengthens
MetLife’s
posi1on

and
many
other
industries
that
“touch”
the
senior
segment
 as
an
innovator
in
helping
Americans
make
the
most
of
what

of
our
society.
They
have
exis1ng
books
of
business
of
 they
have
in
re1rement.”
clients
62
years
of
age
and
above
and
even
more
clients

between
the
ages
of
40
&
50
that
are
greatly
concerned
 Now,
the
na1on’s
financial
industry
is
being
reshaped.
Mega

about
their
parents
quality
of
life.
This
is
the
future
of
the
 giants
such
as
MetLife
have
guaranteed
that
the
Reverse

Reverse
Mortgage
originator.
This
is
the
future
of
the
Reverse
 Mortgage
will
play
a
large
part
in
that
reshaping.

And
let’s

Mortgage
industry! face
it,
Snoopy
is
very
rarely
wrong!

The
Reverse
Mortgage
unleashes
the
deepest
and
most
 The
conven1onal
mortgage
world’s
best
friends
have
always

untapped
equity
in
the
country
today,
es1mated
at
9
trillion
 been
the
professional
Realtor,
their
local
1tle
company,
their

dollars,
increasing
to
in
excess
of
32
trillion
as
the
baby‐ telemarketer,
or
in
the
case
of
the
na1onal
players,
their

boomers
reach
re1rement
age.

A
mortgage
with
a
below
 predic1ve
dialer.

market
interest
rate,
no
income
or
credit
qualifica1ons
along

with
no
payments
for
the
life
of
the
loan
doesn’t
make
it
 The
professional
Reverse
Mortgage
originator
will
be
best

the
ul1mate
mortgage
of
the
21st
century,
it
makes
it
the
 friends
with
the
many
trusted
senior
advisors
that
touch

ul1mate
financial
planning
tool
of
the
21st
century
for
our
 so
many
seniors
in
our
na1on
and
have
the
best
chance
of

seniors! maintaining
and
in
many
cases
even
be:ering
their
quality
of

lives.
Obviously,
there
are
many
cases
where
a
financial
planner

is
not
needed.

The
Reverse
Mortgage
industry
has
had
 Be
a
part
of
this
new
world,
it’s
different,
it’s
be:er.

I
can
tell

record‐breaking
growth
over
the
last
several
years
mostly
 you
from
personal
experience,
it
feels
great!
through
the
conven1onal
mortgage
world.
But
we
all
know

we
haven’t
even
come
close
to
scratching
the
surface
of
the

poten1al
volume
of
this
product.
Why?


Dec 08 / Jan 09 9
contributors
Ralph
Rosynek Bre$


‐
Ask
the
Underwriter,
page
7 Varner
Ralph
Rosynek
is
President
and
CEO
of
1st
Reverse
as
well
 
‐
Lessons

as
a
HECM
DE
Underwriter.
Mr.
Rosynek
has
been
involved
 Learned
From

in
mortgage
lending
for
over
30
years
with
the
last
5+
years
 2008,
exclusively
providing
reverse
mortgage
lending
solu1ons.
 page
24

To
contact
Mr.
Rosynek
or
to
learn
more
about
1st
Reverse
 Bre:
Varner

Financial
Services,
Please
visit
www.1streverse.com
or
call
 is
the
VP
of
Produc1on
for

877.574.1000. OMNI
Reverse.

With
over
15

years
of
business
management

Tom
Emmerson Sam
Collins experience
centered
on
sales


‐
The
Reverse
 
‐
Moving
Forward
 development,
customer
service,

Mortgage
 in

Reverse
2009
...
 and
opera1ons
efficiency,
Mr.

Marke&ng
Plan,
 Avoid
the
Following
 Varner
joined
OMNI
in
2006
to

page
28 Errors,
page
16 help
develop
enhanced
sales
and

Tom
Emmerson
 Sam
Collins
is
the
 workflow
systems,
and
to
create

is
the
VP
of
Sales
 President
of
Sam
Collins
Reverse
 an
integrated
training
system.


for
Direct
Group
 Marke1ng,
LLC
and
Founder
of
 He
earned
his
MBA
from
the

Mortgage
Marke1ng
Division
has
 REMALO,
the
Reverse
Mortgage
 University
of
Redlands.

15
years
of
direct
mail
experience
 Associa1on
for
Loan
Officers.

–
11
of
those
years
in
mortgage
 REMALO
is
a
web
based
Na1onal

marke1ng.

He
has
designed
and
 sales,
marke1ng,
training,
and
full

copy‐wri:en
mailers
for
some
of
 service
center,
created
exclusively

the
top
companies
in
America
such

John
Lunde
for
Reverse
Mortgage
Loan
 
‐
Reverse

as
GNC,
American
Express,
Merrill
 Officers,
Correspondents,
Branch
 Market

Lynch
&
Allied
Home
Capital. Managers,
and
key
execu1ves,
and
 Snapshot,
brokers.
www.remalo.org page
12
John
Lunde
is

President
and

founder
of
Reverse
Market
Insight,

the
premier
source
for
market

Joel
Schiffman intelligence
and
analy1cs
services


‐
Year
for
the
Record
Books,
page
34 in
the
reverse
mortgage
industry.

Joel
Schiffman
and
Fed
Kamensky
are
a:orneys
of
the
 RMI
clients
include
five
of
the
top

law
firm
of
Weiner
Brodsky
Sidman
Kider
PC.
 ten
reverse
mortgage
originators,

The
law
firm
serves
as
General
Counsel
to
reverse
 both
lender
and
independent

mortgage
lenders
and
other
industry
par1cipants
 servicers,
as
well
as
some
of
the

throughout
the
na1on.

The
firm
has
offices
in
 largest
financial
services
firms
in

Washington,
DC,
Newport
Beach
and
Houston.

 the
world.
Find
out
more
at
www.
Addi1onal
informa1on
may
be
found
at
www.wbsk.com
or
by
telephone
 rminsight.net
or
call
949.281.6470.
at
202.628.2000.

Messrs.
Schiffman
and
Kamensky
may
be
reached
at

schiffman@wbsk.com
and
kamensky@wbsk.com.

10 reversereview.com
 Atare
E.
Agbamu,
CRMS Monte
Rose

‐
How
Reverse
Mortgages
Can
Boost
Obama’s
Call
to
 ‐
Time
Management

Service,
page
14 and
Sales
Produc&vity,

Atare
Agbamu
is
the
author
of
Think
Reverse!
(The
 page
19
Mortgage
Press,
coming
this
fall)
and
more
than
100
 Monte
Rose
has

ar1cles
on
reverse
mortgages.
A
reverse‐mortgage
 helped
hundreds

specialist
in
Minnesota
and
an
adviser
to
ins1tu1ons
 of
seniors
obtain
a

across
the
country,
he
writes
the
Forward
on
Reverse
 reverse
mortgage
during
the
past
17

column
in
The
Mortgage
Press,
since
2002.
Atare
can
be
reached
by
email
 years.
He
is
an
accomplished
speaker

at
atare@thinkreverse.com and
widely
quoted
industry
expert,

appearing
in
financial
publica1ons

Michael
Banner and
na1onally
syndicated
media.


‐
The
Birth
of
a
New
Industry,
page
8
He
was
head
of
na1onal
retail

President

&
CEO
of
LoanWell
America
Inc.,
Michael
has

sales
for
Financial
Freedom
Senior

been
in
the
mortgage
industry
for
27
years.

He
is
one
of

Funding
Corpora1on.
Monte
is

few
Reverse
Mortgage
professionals
accredited
to
teach

a
Cer1fied
Senior
Advisor
and
a

con1nued
educa1on
classes
for
CFP’s,
CPA’s,
a:orneys

Cer1fied
strengths
Coach
with
Gallup

&
insurance
agents.
A
proven
senior
advocate,
he
is
a

University.
For
more
informa1on,
call


member
of
NRMLA’s
State
&
Local
Issues
Commi:ee
and

800.516.0545
or
email
sits
on
the
Board
of
Directors
for
the
FPA
of
Tampa
Bay.
Michael
has
been

info@monterose.biz.
interviewed
by
the
Wall
Street
Journal,
the
Tampa
Bay
Business
Journal,

Sr.
Market
Advisor
&
The
Reverse
Mortgage
Wire
as
well
as
numerous

Valerie

other
Reverse
Mortgage
Internet
sites.
VanBooven

‐


A
Guide
to

Following
Up,

Fed
Kamensky page
40

‐
Year
for
the
Record
Books,
page
34 Valerie
VanBooven

Joel
Schiffman
and
Fed
Kamensky
are
a:orneys
of
the
 RN
BSN
is
a
Senior

law
firm
of
Weiner
Brodsky
Sidman
Kider
PC.
 Service
Marke1ng
Expert
and
the

The
law
firm
serves
as
General
Counsel
to
reverse
 Na1onal
Marke1ng
Director
for

mortgage
lenders
and
other
industry
par1cipants
 Next
Genera1on
Financial
Services,

throughout
the
na1on.

The
firm
has
offices
in
 a
Division
of
1st
Mariner
Bank.

Washington,
DC,
Newport
Beach
and
Houston.

 She
is
a
professional
speaker
and

Addi1onal
informa1on
may
be
found
at
www.wbsk.com
or
by
telephone
 the
author
of
the
books
“Aging

at
202.628.2000.

Messrs.
Schiffman
and
Kamensky
may
be
reached
at
 Answers”
(2003)
and
“The
Senior

schiffman@wbsk.com
and
kamensky@wbsk.com. Solu1on”
(2007).
She
can
be

reached
at

valerie@nextgenfinser.com.

Please
visit
her
website
at
www.
myseniorservice.com

Dec 08 / Jan 09 11
reverse mortgage industry snapshot
Sta1s1cs
Provided
by
Reverse
Market
Insight
‐
October
2008
HECM MIC Endorsement Statistics

As Of October 2008
Top
10
Rankings
by
Region
Endorsements Active Lenders Region Share
Rank Chg Region 2008YTD YTDChg% 2007TOT 2008 Chg% 2008YTD Chg%
1 1 Southeast/Caribbean 24,679 22.41% 24,014 820 110.8% 25.274% 15.35%
2 -1 Pacific/Hawaii 18,866 -14.35% 25,612 735 53.77% 19.321% -19.29%
3 - Mid-Atlantic 11,880 16.76% 11,956 379 114.12% 12.167% 10.02%
4 - Midwest 9,894 3.78% 11,434 491 67.01% 10.133% -2.21%
5 1 Southwest 8,696 27.75% 8,073 294 90.91% 8.906% 20.38%
6 -1 New York/New Jersey 6,943 -3.23% 8,322 293 92.76% 7.111% -8.82%
7 1 Northwest/Alaska 5,632 14.43% 5,790 278 86.58% 5.768% 7.82%
8 -1 New England 5,206 -13.78% 6,963 296 56.61% 5.332% -18.75%
9 - Rocky Mountain 3,424 23.97% 3,296 177 58.04% 3.507% 16.82%
10 - Great Plains 2,424 0.58% 2,827 165 89.66% 2.482% -5.22%
Industry Totals 97,644 6.12% 108,287 2,756 84.35%

10
Regions,
ranked
by
HECM
unit
volume
YTD.

Including
rank
change
from
prior
YTD,
as
well
as
growth
rates.


Also
includes
ac1ve
lenders
and
growth

t Statistics
Lender
Distribu1on
by
YTD
Growth
Rate
8

Growth Rate Lenders YTD MIC Last YTD

248 2,260
-100%
548 44,221 69,300
-99% to -1%
380 21,298 16,209
0 to 100%
98 4,885 2,021
101% to 200%
49 1,641 463
201% to 300%
34 4,045 858
301% to 400%
138 10,201 899
over 400%
1,509 11,353
New Lenders

Lender
distribu1on
graph
and
table,
showing
number
of
lenders
growing
at
various
growth
rates
YTD
vs.
prior

YTD,
including
volume
a:ributable
to
each
group
of
lenders.

Client
No6ces

1)
 Help
improve
data
quality
in
the
Reverse
Mortgage
industry.

If
you
believe
your
company’s
numbers
on
this
report
are
inaccurate,
please
email
us
(support@
rminsight.net)
and
we
will
review
your
feedback
promptly.

Please
include
your
name,
company
and
contact
informa1on
along
with
a
thorough
descrip1on
of
the

suspected
inaccuracy.

Thanks!
2)
 If
you
received
this
report
as
a
trial
or
sample
and
would
like
to
purchase
this
report
or
future
reports
for
your
company,
please
visit:
www.rminsight.net/MICreports.
php

3)
 If
you’ve
been
looking
for
a
source
for
Reverse
Mortgage
intelligence
beyond
MIC
endorsement
numbers,
we’ve
got
just
what
you
need.

Find
out
more
at
www.
rminsight.net/rmarket.php

12 reversereview.com
 24
Month
Penetra1on
and
Unit
Volume
12000 1.80%

1.60%

1.40%

10000 1.20%

Penetration
1.00%
Units

0.80%

8000 0.60%

0.40%

0.20%

6000 0.00%
2006-11 2007-3 2007-7 2007-11 2008-3 2008-7

MIC Units Penetration %

2
year
trend
graph
of
monthly
HECM
unit
volume
and
industry
penetra1on
against
62+
homeowner
households
na1onally.
Appendix
1)
All
sta1s1cs
based
on
retail
origina1ons
from
HUD’s
Monthly
HECM
MIC
reports
2)
Loans
are
in
unit
volume,
based
on
HUD
reported
mortgage
insurance
cer1ficate
issuance
3)
Lenders
are
aggregated
using
HUD’s
lender
iden1fica1on
numbers
and
unique
lender
names,
along
with
feedback
from

repor1ng
lenders
HUD
Regions
and
Corresponding
States/Territories

Region
1
‐
New
England
 Region
3
‐
Mid‐Atlan1c
 Region
5
‐
Midwest
 Region
7
‐
Great
Plains
 Region
9
‐
Pacific/Hawaii


Connec1cut
 Delaware
 Illinois
 Iowa
 Arizona

Maine
 District
of
Columbia
 Indiana
 Kansas
 California

Massachuse:s
 Maryland
 Michigan
 Missouri
 Federated
States
of
Micronesia

New
Hampshire
 Pennsylvania
 Minnesota
 Nebraska
 Hawaii

Rhode
Island
 Virginia
 Ohio
 Nevada

Vermont West
Virginia Wisconsin Region
8
‐
Rocky
Mountain

Colorado
 Region
10
‐
Northwest/Alaska

Region
2
‐
New
York/New
Jersey
 Region
4
‐
Southeast/Caribbean
 Region
6
‐
Southwest
 Montana
 Alaska

New
York
 Alabama
 Arkansas
 North
Dakota
 Idaho

New
Jersey
 Florida
 Louisiana
 South
Dakota
 Oregon

Georgia
 New
Mexico
 Utah Washington
Kentucky
 Oklahoma
 Wyoming
Mississippi
 Texas

North
Carolina

Puerto
Rico

South
Carolina

Tennessee

U.S.
Virgin
Islands

Dec 08 / Jan 09 13
 How Reverse
Mortgages
Can Boost
Obama’s Call
to Service
Atare E. Agbamu, CRMS

14 reversereview.com
Reverse
mortgages
can
promote
volunteerism
among
aging
 Unlike
the
Alexanders,
many
baby
boomers
may
have
to

baby
boomers
and
support
President
Barack
Obama’s
call
to
 work
because
more
than
half
of
them
have
a
mortgage

community
service.
 payment
obliga1on.
According
to
a
MetLife
Mature
Market

Ins1tute
demographic
profile,
56
percent
of
younger

That
was
a
lesson
I
took
from
my
conversa1on
with
Paul
and
 boomers
carry
a
mortgage.
Among
older
boomers,
it
is
53

Irene
Alexander
of
Hampstead,
New
Hampshire
when
I
was
 percent.
These
boomers
will
enter
re1rement
with
some

researching
my
recently
released
book. monthly
mortgage
payment
burden.


Pre‐babyboomers
and
life‐long
volunteers,
the
Alexanders
 While
some
may
find
meaningful
work
that
will
also
supply

are
parents

and
grandparents.
Paul
re1red
as
a
human
 the
cash
they
need,
others
may
have
to
se:le
for
work
that

resource
manager,
and
Irene
served
as
a
law
firm
 may
not
fully
use
their
skills
and
educa1on
or
give
them
the

recep1onist.

They
believe
the
reverse
mortgage
they
took
6
 flexibility
they
need
in
post‐re1rement
work.
That
is
where
a

years
ago
gave
them
the
freedom
to
focus
on
helping
others
 reverse
mortgage
solu1on
comes
in.
in
their
community.
How
can
reverse
mortgages
aid
volunteerism?
There
are
at

“From
a
contribu1on
basis,
we
were
able
to
concentrate
on
 least
two
ways.
First,
depending
on
mortgage
balance
and

contribu1ng
to
other
people’s
quality
of
life,
as
well
as
our
 equity
availability,
a
reverse
mortgage
stops
the
monthly

own,”
Paul
Alexander
said.
 nega1ve
cash‐bleeding.
Secondly,
it
increases
posi1ve
cash

in‐flow,
giving
the
boomer
budgetary
la1tude
to
mix
leisure

Un1l
Paul
took
ill
three
years
ago,
the
Alexanders
devoted
 with
community
service,
enhancing
life
sa1sfac1on.
24
hours
a
week
(or
1,248
hours
a
year)
to
volunteer
work.

Na1onally,
in
2007,
about
61
million
people
volunteered
 The
physical
and
the
psychological
health
benefits
of

in
their
communi1es
and
gave
8.1
billion
hours
of
service
 volunteerism
are
well‐documented.
With
a
massive
and

valued
at
$158
billion,
according
to
the
Corpora1on
for
 permanent
aging
popula1on
under
way,
the
public
health

Na1onal
and
Community
Service.
Volunteering
in
America
 value
and
the
resul1ng
healthcare
savings
of
volunteerism

reported,
between
2005
and
2007,
31.2
percent
of
boomers
 cannot
be
underes1mated.
Therefore,
policy
makers
should

gave
52
hours
a
year
to
their
communi1es.
At
78
million,
 look
at
how
reverse
mortgages
can
be
used
to
advance

Baby
Boomers
could
double
the
number
of
older
adult
 volunteerism
among
baby
boomers.
volunteers
in
the
coming
decades.
One
way
is
for
an
Obama
administra1on
to
ask
Congress
for

They
will
help
address
needs
in
educa1on
and
other
areas.
 money
to
waive
the
HECM
reverse
mortgage
two‐percent

In
educa1on,
for
example,
we
will
need
more
than
2
million
 upfront
mortgage
insurance
premium
for
eligible
older

new
teachers
in
the
next
decade,
especially
in
math,
science,
 adults
who
have
given
at
least
500
hours
of
documented

and
special
educa1on.
The
teacher
shortage
is
acute
in
urban
 community
service
two
years
before
applying
for
a
reverse

and
rural
school
districts.
Because
of
expected
structural
 mortgage.
Another
is
for
Congress
to
give
a
$6,000
tax
credit

shortage
of
skilled
younger
workers
and
compe11on
with
 for
those
who
gave
1,000
hours
of
service
two
years
before

other
industries
for
such
workers,
several
ba:alions
of
 geyng
a
reverse
mortgage.
Obama’s
“army
of
new
teachers”
will
have
to
come
from

highly‐educated
re1red
baby‐boomers. During
the
presiden1al
campaign,
Obama
promised
a

$4,000
college
tui1on
credit
each
for
students
who
commit


As
Paul
Alexander
knows
very
well,
the
extra
cash
and
the
 to
service
as
teachers
in
high‐need
communi1es.

Similar

no‐monthly‐mortgage‐payment
benefit
of
reverse
mortgages
 incen1ves
should
be
considered
via
reverse
mortgages
for

can
give
boomers
the
financial
leeway
to
heed
Obama’s
call
 the
legions
of
older
adults
who
forgo
re1rement
leisure
to

to
serve
their
communi1es. serve
their
communi1es
and
enrich
our
na1on.

“If
we
had
to
work
to
pay
our
mortgage,
that’s
a
different
 Think
reverse.
Move
forward!
story.
We
wouldn’t
be
able
to
make
those
contribu1ons.

It
is

a
great
social
plus.

It
[reverse
mortgage]
is
truly
one
of
the

best
things
that
has
happened
to
this
country
in
a
long
1me,”

he
said.

Dec 08 / Jan 09 15
Moving Forward in Reverse 2009 ...
Avoid the Following Errors
Sam Collins

I don’t know about you but I’m ready for 2009. There is something about the New
Year, it means a new beginning. A way to move out the old and move in the new.
When I entered the reverse mortgage business, my biggest concern was learning
as much as I could about the business as quickly as I could. I soon discovered the
reverse mortgage business was not about reverse mortgages at all. The reverse
mortgage business is all about marketing. If you don’t know how to market the
product, then knowing all the technical aspects about the business is useless.
To
be
successful
in
the
reverse
mortgage
business,
you
need
 now
and
in
the
future.

Your
offer
should
be
as
generous
as

to
talk
to
many
senior
clients.


How
do
you
do
that?

You
 you
can
afford.

Keep
in
mind
the
acquisi1on
costs
and
the

need
to
learn
to
market
and
avoid
the
errors.


Errors
in
 poten1al
profits
per
origina1on.
marke1ng
cost
you
1me
and
money.

No
ma:er
how
you

slice
it,
your
chances
of
being
profitable
in
any
business
are
 #3
Crea1ng
a
Timeline
or
Deadline
for
Your
Client:

limited
if
you
have
poor
marke1ng
skills.

The
least
costly

way
to
avoid
errors
is
to
learn
from
the
mistakes
of
others
 Crea1ng
a
1meline
for
your
senior
is
difficult.

It
could
be
the

and
make
sure
you
avoid
them.

 1ming
is
not
right
for
them
when
you
market
to
them.

You

need
to
approach
the
1meline
with
the
aytude
of
a
future

I
want
to
share
with
you
a
culmina1on
of
38
years
of
 business
opportunity.


However,
crea1ng
a
sense
of
urgency

experience
and
how
you
can
avoid
the
most
common
errors
 and
a
1me
line
is
s1ll
important.
The
important
thing
for
you

made
in
marke1ng.
 to
remember
is
that
the
tortoise
is
probably
going
to
win
the

race
over
the
hare.



#1
A
Lousy
AD
will
get
lousy
results:


Your
senior
prospect
is
going
to
move
forward
when
they
are

Make
sure
your
content
is
interes1ng,
but
more
importantly
 ready,
not
when
you
are
ready.


your
marke1ng
must
have
an
interes1ng
headline
or
interest

point
to
invoke
a
benefit
and
create
curiosity
for
your
senior
 Your
goal
is
to
become
more
concerned
about
making
your

client.

Your
primary
objec1ve
is
to
avoid
being
the
same
as
 seniors
feel
good
about
themselves
more
than
are
making

everyone
else.
 them
feel
good
about
you.

#2
Either
No
Offer,
or
a
Lousy
Offer:

 #4
Lacking
Proof
Elements
or
Tes1monials:



When
you
are
prospec1ng
for
new
senior
clients,
you
must
 Are
you
a:ending
every
senior
loan
closing?
If
not
now
is

ask,
“What
does
it
take
for
someone
to
want
to
respond
to
 the
1me
to
start.
Reverse
mortgage
closings
are
usually

me?”


Your
offer
has
to
be
relevant
to
your
senior
market’s
 very
happy
1mes.

Closing
is
the
1me
you
want
to
ask

interests,
desires,
needs
and
wants.

You
must
be
sure
to
 for
tes1monials
from
your
happy
senior
clients.

If
you

include
an
offer
in
your
marke1ng
approach.


Your
offer
 are
unable
to
a:end
a
closing,
you
want
to
follow
up

must
be
one
that
appeals
to
your
Senior
Clients.

You
must
 with
a
Thank
You
card,
survey,
and
include
comments

view
your
investment
in
senior
marke1ng
as
a
“lifelong”
 for
tes1monials.

Use
these
follow
up
procedures
in
your

client
and
determine
how
you
can
cul1vate
your
business
 marke1ng
in
print,
audio
or
video.

Obviously,
you
want
to

get
permission
before
prin1ng.

16 reversereview.com
#5
Failures
to
Give
Assurance
or
a
Guarantee:


 #9
Failure
to
Tell
Seniors
Your
Story:



For
us
in
the
Reverse
Mortgage
business
the
guarantee
 The
best
way
to
build
a
trus1ng
rela1onship
with
your

assurance
is
the
FHA
MIP,
mortgage
insurance
premium
 senior
clients
is
through
a
story.
Seniors
want
to
know
how

feature.

You
want
to
emphasize
this
o`en
in
your
marke1ng
 a
Reverse
Mortgage
will
benefit
them
and
make
an
impact

efforts.

Your
senior
clients
are
already
scared
of
the
whole
 in
their
lives.

Don’t
be
afraid
to
tell
them
the
downside
of
a

“mortgage”
process.

When
you
give
your
senior
this
 Reverse
Mortgage.

For
most
seniors,
life
experiences
have

reassurance
it
will
significantly
reassure
them
and
assist
 proven
they
already
know
it
and
they
are
just
wai1ng
to
see

them
in
their
decision
before
moving
ahead
with
a
Reverse
 if
you
have
the
nerve
to
tell
them
the
truth.


Mortgage.

A
true
life
story
of
how
you
or
your
team
have
helped
seniors

#6
Me
Too
Look
Alike
or
Appearance:
 in
the
past
to
become
more
financially
secure
and
how
they

u1lized
their
home’s
equity
to
realize
improvements
to
their

When
considering
your
marke1ng,
try
to
avoid
the
“me
too”
 lives
and
their
home,
is
an
effec1ve
way
to
show
them
how

appearance.

Most
Reverse
Mortgage
marke1ng
materials
 others
have
benefited
from
a
reverse
mortgage.



have
a
dis1nguishing
common
thread,
they
all
look
the
same

and
have
the
same
message.

Your
goal
is
to
dis1nguish
 Effec1ve
communicators
know
their
message.

“Anyone
can

yourself
and
your
product
differently
to
your
senior
client.

 steer
a
ship
but
it
takes
a
leader
to
chart
the
course.”

You

This
approach
will
set
you
apart
from
your
compe11on
and
 want
to
be
a
good
leader
for
your
senior
clients.
produce
responses
far
greater
than
the
me
too
marke1ng

pieces. »
#7
Focus
on
the
Client
instead
of
the
WIIFM:


Many
companies
and
marketers
are
trapped
in
the
“I’m
the

greatest
or
most
wonderful
company
or
most
wonderful

person
to
do
business
with”.

Try
to
avoid
this
trap.

Your

senior
client
wants
to
know
“WIIFM”
(What’s
In
It
For
ME).


Avoid
the
“just
another
Salesman”
trap.

Seniors
have
an

uncanny
way
of
being
able
to
spot
a
salesman.

From
the

senior’s
viewpoint;
salesmen
are
out
for
themselves,
not

their
clients.

Another
objec1ve
is
making
sure
you
add
value
that
your

senior
clients
will
appreciate
and
recognize.

When
your

senior
client
knows
and
relates
to
what
they
value,
then
you

make
yourself
more
valuable
and
your
senior
clients
will

appreciate
your
advice
and
rela1onship.

#8

A:emp1ng
to
Accomplish
too
Many
Objec1ves:


Most
marke1ng
campaigns
try
to
accomplish
too
many

objec1ves.

It’s
only
natural.

You
are
spending
a
lot
of

money
and
you
think
this
is
the
way
to
maximize
your

investment.
However,
your
goal
is
one
thing
and
one
thing

only,
RESPONSE.

Yes,
you
want
your
senior
client
to
respond

to
you.

Therefore,
your
chance
of
geyng
a
response
goes
up

drama1cally
when
you
concentrate
on
one
objec1ve
in
your

marke1ng
piece.


The
response
is
geyng
the
call,
seyng
the

appointment,
taking
the
applica1on.
Geyng
prospects
to

respond
should
be
your
primary
objec1ve
in
your
marke1ng

approach.



Dec 08 / Jan 09 17
Before
you
arrive
at
your
appointment
you
should
ask
 In
Summary:
yourself:
•
 What
is
the
primary
purpose
of
my
visit? Here
is
your
homework
and
I
want
you
to
start
today.


•
 Have
I
prepared
my
senior
client
for
my
message? Remember
2009
is
your
cue
for
a
new
beginning.


Start

•
 What
else
will
they
need
to
know
to
make
an
intelligent
 collec1ng
all
the
direct
mail
pieces
you
receive
at
home.


decision? Start
reading
trade
journals
and
advertorials.

Collect
your

•
 What
does
my
senior
need
to
know
to
do? marke1ng
pieces
in
a
large
box.

Once
a
week,
just
take
one

•
 Can
I
make
my
presenta1on
connect
with
my
senior? hour.

Sort
through
the
ads
and
toss
out
the
ones
you
do

not
like,
but
keep
the
ones
you
like.

Think
outside
the
box

#10

Avoid
Being
Cute:
 and
“brain
dump”
as
to
how
you
can
make
the
good
ones

rela1ve
to
your
senior
market.

A`er
prac1cing
this
process

Most
marketers
think
cute
is
remembered.

Try
to
remember
 for
a
while,
your
mind
will
take
on
a
whole
new
world
of

the
cute
ads
that
ran
in
the
Super
Bowl
last
year.

Did
 crea1vity.

You
will
become
engaged
and
excited
about
your

those
ads
s1r
you
to
purchase
their
product?
My
guess
is
 opportuni1es.

Give
your
idea
a
test.

Mail
out
about
1000

probably
not.


Bo:om
line,
cute
is
remembered
as
cute,
 test
pieces
and
measure
the
response.

If
they
work,
you

but
most
likely
ends
up
selling
nothing!


Keep
in
mind
we’re
 have
a
winner.

If
not,
you
haven’t
broken
the
bank.

Go

dealing
with
seniors
in
our
marke1ng
and
they
are
probably
 back
to
your
box
of
tricks
and
brain
dump
again.

Repeat
the

scared
as
heck
to
even
consider
anything
that
resembles
a
 process.

S1ck
with
it.



“Mortgage”
regardless
of
the
proof
we
give
them.


The
winner
in
our
business
is
“STEADY
AS
SHE
GOES”.

The

Put
yourself
in
the
client’s
shoes.
Imagine
yourself
re1red,
 consistent,
organized,
compassionate,
and
well
respected

you
are
receiving
no
weekly
pay
check,
only
social
security,
 marketer
who
is
constantly
analyzing
their
marke1ng
from

and
now
there
is
a
stranger
siyng
in
your
living
room
trying
 start
to
finish
and
eventually
gets
to
the
finish
line
is
a

to
sell
you
a
mortgage.

Next
your
senior
client
is
thinking,
 WINNER!
“I
worked
a
good
number
of
years
to
pay
off
the
mortgage,

you’re
telling
me
to
take
out
another
one?”
Wow!

Don’t
try
 Best
of
luck
to
your
success
in
2009.
to
be
cute…we’re
dealing
with
serious
ma:ers
that
are
dear

to
our
senior’s
heart
and
mindset.


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18 reversereview.com
 Time Management
and
Sales Productivity

Monte Rose
Sales
produc1vity
is
a
“mul1‐factorial”
problem.
What
this
 consistent
ac1on.
And
it
is
precisely
the
la:er
idea
that
1me

means
is
that
several
key
elements
must
be
in
place
before
 management
addresses.
Without
controlling
insight
(and

predictable
produc1vity
happens.
There
are
personality,
 the
right
level
and
quality
of
mo1va1on
and
goal
clarity),

behavioral,
strategic,
and
execu1on
dimensions
that
have
to
 the
shell
of
“1me
management”
technology
degenerates

all
come
together
before
success
happens
in
a
consistent
and
 into
wasted
energy
at
its
best,
and
the
very
source
of
career

sustainable
manner.
 distrac1on
at
its
worst.

In
a
previous
ar1cle
(The
Founda1ons
of
Effec1ve
Execu1on),
 There
are
people
who
survive
without
any
sophis1cated

I
introduced
two
concepts
that
must
be
addressed
in
 1me
management
systems,
provided
they
have
the
right

coaching
breakthrough
sales
performance:
(a)
the
ability
to
 energy
and
sustained
tac1cal
execu1on
on
a
day
to
day
basis.

consciously
manage
one’s
“Skills‐Brand‐Reach”
poraolio,
 However,
most
people
who
achieve
breakthrough
results,

and
(b)
the
use
of
a
systemic
1me
and
energy
management
 by
defini1on,
have
almost
always
fashioned
a
successful

approach
suited
to
the
individual
salesperson. personal
system
in
managing
their
work
week.


Ideally,
integra1ng
these
two
ideas
in
the
simplest
 Most
salespeople
are
not
connoisseurs
of
1me
management

possible
way
(in
real
1me)
results
in
effec1ve
and
efficient
 theories.
My
own
view
on
the
ma:er
is
that
form
follows

sales
performance.
The
challenge
is
how
to
customize
a
 func1on.
Form
in
this
case
is
the
1me
“system”
that
one

produc1vity
system
that
is
both
simple
and
sophis1cated
 uses,
while
func1on
refers
to
the
workload
of
prospec1ng

enough
to
provide
a
learning
feedback
loop.
This
allows
the
 and
conver1ng
that
every
salesperson
must
do
regularly.

manager
(and
the
producer)
an
intelligent
way
to
change
 Having
said
that,
it’s
some1mes
very
useful
to
explore

“the
game”
based
on
the
success
of
the
sales
behaviors,
as
 what’s
out
there
that
can
shorten
our
produc1vity
learning

well
as
the
changes
in
the
market’s
requirements. curve.
Effec1ve
1me
management
is
a
crucial
survival
skill,

especially
to
beginning
producers
who
are
typically
swamped

Time
management
systems
in
and
of
themselves
do
not
 with
the
challenges
of
learning
the
product,
understanding

guarantee
results.
Efficiency
does
not
always
translate
 the
senior
marketplace,
and
naviga1ng
the
back‐office

to
sales
results.
The
most
obvious
reason
is
that
the
 terrain.
correct
direc1on
(or
insight)
must
first
be
determined.

As
I’ve
men1oned
before
in
earlier
ar1cles,
successful
 Lakein’s
A‐B‐C
priori1za1on
framework
and
Covey’s
top‐

»
produc1on
occurs
with
the
unity
of
correct
insight
with
 down
system
have
been
the
established
approaches
in
the


Dec 08 / Jan 09 19
1me
management
field.
More
recently,
David
Allen’s
system
 Allen
writes
about
for
your
game
to
improve.
Every
li:le

(Geyng
Things
Done)
has
been
increasing
in
popularity
since
 thing
you
pick
up
and
apply
(e.g.,
how
to
set
up
a
1ckler
file,

the
book’s
publica1on
in
2001.
 or
a
filing
system)
can
and
will
transform
your
produc1vity

and
capacity
to
deal
with
stress.
Allen’s
system
has
had
a
lot
of
trac1on
in
the
corporate

trenches,
specifically
among
knowledge
workers
who
are
 The
most
recent
entrant
in
the
1me
management

swamped
with
commitments
and
informa1on
overload.
The
 conversa1on
is
Mark
Forster,
a
Bri1sh
1me
management

basic
concept
of
GTD
is
geyng
all
the
“stuff”
that
enters
 consultant
who
wrote
the
book
Do
It
Tomorrow,
published

your
life
out
of
your
head
and
into
a
“trusted
system.”
For
his
 in
2006.
I
find
Forster’s
ideas
simple
and
easy
to
implement.,

followers,
Allen
provides
a
system
that
reduces
stress
and
a
 and
poten1ally
helpful
for
salespeople.
The
key
concept
of

structured
approach
to
handling
the
increased
complexity
 DIT
is
the
idea
of
maintaining
a
“closed
list.”
The
culprits
in
a

of
today’s
work
environment.
Unlike
Covey
or
Tom
Peters
 non‐produc1ve
day
are
typically
the
countless
interrup1ons

who
focus
on
Mission,
Vision,
and
Goals,
Allen’s
bo:oms‐ that
prevent
us
from
tackling
our
to‐do
lists.
In
my

up
approach
involves
collec1ng
and
processing
informa1on
 experience,
salespersons
are
more
sidetracked
by
their
own

into
a
sophis1cated
“filing
system”
and
retrieving
them
 lack
of
strategic
daily
ac1on
plans
than
external
interrup1ons

through
daily
and
weekly
reviews.
He
popularized
the
idea
 from
clients
or
corporate
colleagues.
Corporate
folks
are

of
“contexts”
which
are
simply
buckets
of
tasks
that
have
 those
who
normally
experience
external
demands.
In
both

the
same
loca1on
or
source
of
ac1on
(e.g.,
home,
office,
 cases
crea1ng
and
implemen1ng
an
(insight‐based)
strategic

errands,
phone
calls,
etc.)
 closed
list
becomes
the
founda1on
of
produc1vity
and

results.
For
salespersons,
this
always
goes
back
to
effec1ve

Allen’s
approach
can
be
quite
effec1ve
for
salespeople,
 and
efficient
prospec1ng
and
conver1ng.
Everything
else
has

depending
on
the
individual’s
personality
and
penchant
for
 to
support
these
two
founda1onal
ac1vi1es.
detail.
Because
it
is
a
very
sophis1cated
system
to
learn
and

implement,
it
some1mes
can
have
a
very
steep
learning
 Forster
argues
that
the
bane
of
produc1ve
existence
is

curve.
The
most
important
takeaways
from
GTD
are
the
 the
problem
of
the
“open
list”
that
is
constantly
a:acked

concepts
of
Next
Ac1on,

the
Weekly
Review,
and
the
idea
of
 by
the
randomness
of
emergencies
and
demands
from

Ubiquitous
Capture.
 colleagues
and
superiors.
Crea1ng
(and
protec1ng)
one’s

closed
list
(which
he
also
calls
a
will‐do
list)
and
relega1ng

Next
Ac1ons
are
defined
as
the
singular
ac1on
that
moves
 non‐essen1als
to
a
later
1me
is
the
crux
of
DIT’s
approach.

a
project
or
goal
forward.
(For
example,
“Buy
a
House”
is
 Compared
to
GTD’s
scope
and
methodology,
Forster’s
ideas

not
a
Next
Ac1on.
Rather,
it

is
a
“Project”
with
a

mul1tude
 are
streamlined
and
easier
to
implement
immediately.
It

of
next
ac1ons
that
need
to
be
done
mostly
in
sequence.)
 doesn’t
mean,
however,
that
it’s
easier
to
master
compared

The
Weekly
Review
refers
to
systema1cally
looking
at
open
 to
anything
else.
As
with
GTD,
the
concept
of
managing
the

loops
(ac1ons
that
were
stalled,
as
well
as
new
“stuff”
that
 closed
list
requires
discipline
and
consistent
prac1ce.
has
come
in
during
the
week
that
needs
to
be
processed).

Ubiquitous
Capture
refers
to
the
habit
of
wri1ng
down
ideas,
 Forster
is
against
priori1zing
“tasks.”
Instead
he
believes
that

informa1on,
and
commitments
so
that
you
can
do
and
 priori1es
have
to
be
set
at
the
level
of
“projects.”
This
is
a

deliver
what
needs
to
be
done.
This
is
an
important
habit
to
 simple
but
brilliant
dis1nc1on:
priori1es
have
to
be
set
at

cul1vate
when
you
want
to
impress
clients
and
colleagues
 the
level
of
commitments
one
chooses
to
accept,
i.e.,
what

about
being
a
professional
who
“never
drops
the
ball.” project/s
do
I
need
to
do
first
that
will
bring
me
closer
to
the

bo:om
line
results
I
require.

The
main
cri1cism
of
GTD
has
been
the
lack
of
a
precise
and

systemic
way
to
address
the
whole
issue
of
priori1za1on.
 Whether
you
use
GTD
or
DIT
(or
a
combina1on
of
both

GTD
can
make
someone
extremely
efficient,
but
s1ll
not
 approaches),
strategic
insight
is
a
primary
determinant

achieve
excellent
produc1vity
in
terms
of
sales
results.
 of
success.
Both
are
excellent
tools
to
improve
efficiency

However,
in
all
fairness
this
cri1cism
of
the
GTD
approach
 and
leverage
your
1me
and
energy.
However,
without
the

has
more
to
do
with
the
clarity
of
goals
and
strategic
insight
 controlling
insight
that
connects
your
own
unique
strengths

rather
than
the
method
itself.
For
those
who
are
interested
 with
the
marketplace
environment,
1me
management

in
learning
more
about
GTD,
I
strongly
recommend
David
 “technology”
can
easily
become
a
source
of
addi1onal

Allen’s
book.
Most
salespeople
who
use
the
system
create
 distrac1on
to
the
main
goal
of
prospec1ng
and
closing
the

their
own
modifica1ons
to
sa1sfy
the
unique
challenges
of
 sale.
their
workflow.
You
don’t
have
to
implement
everything
that


20 reversereview.com
 “Atare Agbamu is one of only a handful of people in the reverse mortgage arena
who possesses a commanding understanding of the reverse mortgage industry.
As an originator, he has hands-on experience educating seniors and their advisors.
As author of the “Forward on Reverse” column in The Mortgage Press since 2002,
Atare Agbamu communicates nationally with the housing finance community,
bringing the unique insights and experience of an ardent reverse mortgage expert
Only into a wider business context.

$ 49.95
“This book combines Atare’s keen insights and know-how with extensive research to create a first
of its kind resource for the reverse mortgage industry. It offers a comprehensive overview of the indus-
try plus detailed information on marketing and originating reverse mortgages.
“Present and future reverse mortgage professionals and senior advisors will profit from
decades of experience skillfully woven into this book. If you plan to succeed in this industry, this
Plus Postage book is the place to start.”
—Sarah F. Hulbert, President, Senior Financial Corporation and former four-term Co-Chair of NRMLA’s Board
& Handling of Directors

“When I first began reviewing the contents of this book, I became quite jealous ... Atare Agbamu
has set down an impressive amount of information ... And he delivers it in an easy-to-read, simple-
to-understand style that will make this book essential reading for all reverse mortgage
professionals.”
Think Reverse! —from the Foreword by Jim Mahoney, Co-Founder and Former Chairman, Financial Freedom Senior Funding
Table of Contents Corporation, and former four-term Co-Chair of NRMLA’s Board of Directors
Part I:
The new pillar of retirement security “The stories [Chapter 15: Profiles in Satisfaction] are the best vehicle to increase understanding and
acceptance of reverse mortgages among us laypeople. They are very compelling ...”
Part II: —Therese Cain, Executive Director, Minneapolis/St. Paul Chapter of Little Brothers—Friends of the Elderly
Marketing reverse mortgages: It’s all about education
Part III: “This book should be required reading for all new loan consultants originating reverse mortgages and
Originating reverse mortgages is recommended for experienced ones as well. This book provides excellent insight and information
Part IV: on preparing ahead to provide the service our seniors deserve, to ensure a smooth loan process and
Enhancing freedom: The essence of reverse mortgages shorten the time to closing. Most of the problems caused in the processing and closing of reverse
Part V: mortgages come from inadequate preparation.”
A new frontier in mortgage lending —Deanne Opstad, AVP, Senior Underwriter, Generation Mortgage Company
In
early
2006,
the
Na1onal
 research
and
con1nued

Counseling
on
Aging
(NCOA)
 advocacy.
As
well,
by
u1lizing

met
with
the
U.S.
Department
 a
standard
technology

of
Housing
and
Urban
 plaaorm,
NHCA
is
able
to

Development
(HUD)
to
discuss
 garner
and
ensure
appropriate

a
concept
for
a
non‐profit
 levels
of
counseling
resources

organiza1on
that
might
 while
providing
objec1vity,

provide
for
a
more
stable,
 consistency,
and
transparency

transparent,
and
sustainable
 in
the
reverse
mortgage

funding
mechanism
for
reverse
 counseling
process.

mortgage
counseling.
Also,

there
was
the
need
to
address
 Since
its
incep1on,
NHCA
has

the
establishment
of
na1onal
 been
the
unified
voice
for
the

opera1ng
standards
for
HUD‐ reverse
mortgage
industry
to

approved
reverse
mortgage
 the
lending
and
regulatory

counseling
organiza1ons
 community
by
working
with

and
their
cer1fied
HECM
 industry
stakeholders.
NHCA

reverse
mortgage
housing
 has
already
worked
effec1vely

counselors.
HUD
saw
possible
 with
AARP
(American

value
in
the
development
of
 Associa1on
of
Re1red

such
an
organiza1on
as
long
 Persons),
Na1onal
Reverse

as
membership
remained
 Mortgage
Lenders
Associa1on

voluntary.
NCOA
met
with

Money
Management

Michael
Keene (NRMLA),
NCOA,
and
HUD
to

effec1vely
transi1on
to
the

Interna1onal
(MMI)
to
 President “borrower
pay”
ini1a1ve
for

explore
its
interest
in
pursuing
 reverse
mortgage
counseling.

the
development
of
a

voluntary
non‐profit
associa1on
of
reverse
mortgage
counseling
 Another
NHCA
goal
is
to
facilitate
and
advocate
financial
support

organiza1ons.
Along
with
several
other
agencies,
MMI
was
 for
reverse
mortgage
counseling
programs.
NHCA
will
work
with

interested
and
volunteered
to
contribute
1me
and
effort
to
help
 lenders
and
HUD
to
develop
a
consistent
process
to
ensure
that

launch
which
is
now
the
Na1onal
Housing
Counseling
Associa1on
 all
reverse
mortgage
counseling
agencies
are
paid
for
counseling

(NHCA). when
payment
is
supposed
to
occur
at
closing.
NHCA
is
also
willing

to
advocate
with
other
stakeholders,
such
as
NRMLA,
for
FHA

Thanks
to
the
leadership
of
Ivan
Hand,
Chuck
Stanley,
and
Daniel
 funding
for
reverse
mortgage
counseling
rather
than
through
the

Fenton
of
MMI,
NHCA
was
formed
in
Washington
DC
in
March
 present
“borrower
pay”
mechanism.
2008
as
a
non‐profit
organiza1on
with
18
other
par1cipa1ng

reverse
mortgage
counseling
agencies.
Today,
NHCA
has
31
 NHCA
is
a
non‐profit
organiza1on
that
has
a
diverse
and

member
agencies,
which
provide
more
than
70%
of
the
reverse
 independent
12‐member

Board
of
Directors
.
One
board
member

mortgage
counseling
conducted
na1onally.
In
addi1on,
NHCA
has
 is
an
expert
on
aging
issues,
another
is
an
expert
on
consumer

more
than
230
member
counseling
loca1ons
that
employ
over
 economic
educa1on,
and
there
are
several
independent
experts

300
reverse
mortgage
counselors
across
the
country.
Since
its
 providing
management
and
financial
advice.
Michael
Keene
was

incep1on,
NHCA
members
have
helped
more
than
200,000
seniors
 appointed
president
in
July
along
with
a
marke1ng
professional;

with
their
reverse
mortgage
counseling,
and
it
con1nues
to
counsel
 the
two
represent
the
core
of
the
NHCA
management
team.

over
7,000
seniors
every
month.

The
Quality
Improvement
Advisory
Commi:ee
is
composed
of

The
mission
of
the
NHCA
is
to
help
reverse
mortgage
counselors
 agency
representa1ves
who
make
recommenda1ons
to
the
Board

improve
the
lives
of
seniors.
NHCA’s
objec1ve
is
to
support
HUD‐ on
counseling
protocol,
membership
standards,
and
on
the
Code
of

approved
501(c)(3)
reverse
mortgage
counseling
agencies
in
the
 Ethics.
Changes
will
be
reviewed
by
the
Industry
Advisory
Council

delivery
of
high
quality
reverse
mortgage
counseling
services.
This
 and
approved
by
NHCA’s
Board
of
Directors.
All
NHCA
members

is
accomplished
by
crea1ng,
promo1ng,
and
enforcing
opera1onal
 agree
to
provide
data
via
NHCA’s
standard
plaaorm,
which
includes

best
prac1ce
standards
for
NHCA
members
that
improve
 appropriate
safeguards
so
that
confiden1ality
of
compe11ve

consistency
within
the
reverse
mortgage
counseling
industry.
As
 agency
informa1on
is
not
compromised.
This
data
will
be
used
to

a
result,
the
ability
of
reverse
mortgage
counselors
to
respond
 conduct
the
research
in
order
to
improve
the
quality
of
reverse

effec1vely
to
the
ever‐changing
needs
and
op1ons
of
seniors
who
 mortgage
counseling
along
with
input
from
member
agencies
and

are
considering
reverse
mortgages
is
enhanced.
In
addi1on,
the
 other
industry
stakeholders,
such
as
NCOA.
With
the
assistance
of

administra1ve
burden
of
the
counselor
is
reduced.
In
the
process,
 NHCA
Board
member
Dr.
Angela
Lyons,
this
data
will
also
be
used

detailed
reverse
mortgage
counseling
plan
data
is
captured
for
 to
prove
the
value
of
reverse
mortgage
counseling.
NHCA
research


22 reversereview.com
 Advertorial by National Housing Counseling Association

will
demonstrate
the
value
and
guide
the
evolu1on
of
reverse
 their
loan.
NHCA
member
agencies
choose
whether
to
give
seniors

mortgage
counseling
for
the
future. the
op1on
to
pay
up‐front
or
at
closing.
Agencies
that
choose
to

seek
payment
up‐front
do
so
as
long
as
the
senior
involved
can

The
Industry
Advisory
Council
(IAC)
is
comprised
of
lenders
and
 afford
to
pay.
If
the
senior
cannot
afford
to
pay
or
has
a
hardship,

industry
experts
represen1ng
a
cross
sec1on
of
the
reverse
 payment
can
be
made
at
closing,
or
it
can
be
waived.
NHCA
has
a

mortgage
industry.
The
members
provide
input
and
advice
on
 comprehensive
set
of
counseling
choices
to
make
the
process
of

behalf
of
the
lending
community
to
the
management
team
 reques1ng
counseling
as
convenient
as
possible.
As
HUD
requires

regarding
best
prac1ces,
market
research,
analysis
of
the
reverse
 that
seniors
make
the
ini1al
contact
with
a
counseling
agency,

mortgage
industry,
and
general
counseling
issues.
The
IAC
elects
 NHCA
has
made
the
following
op1ons
available:
one
ex‐officio
member
to
the
NHCA
Board
of
Directors. •
 Internet
registra1on
and
selec1on
of
the
reverse
mortgage

counseling
agency
directly
by
the
senior
A
standard
NHCA
membership
is
$100
monthly
(there
is
no
 •
 Fax
registra1on
and
direct
selec1on
of
the
reverse
mortgage

applica1on
charge).
This
cost
per
month
includes
members
with
 counseling
agency
by
the
senior
mul1ple
service
branch
offices.
A
standard
membership
includes
all
 •
 Calling
a
reverse
mortgage
counseling
agency
directly
from
a

of
the
following: counseling
list
that
can
be
obtained

through
the
homeowners

•
 Receive
all
general
reverse
mortgage
counseling
informa1on,
 sec1on
of
the
NHCA
Web
site
(www.LearnReverse.org)
.

updates,
no1ces,
HUD
Mortgagee
Le:ers,
no1ce
from
HUD
for

public
comment,
and
law
updates
and
changes Although
lenders’
use
of
DirectConnect
so`ware
is
not
required
to

•
 Receive
current
news
on
HUD,
industry
and
press
releases work
with
NHCA,
it
is
strongly
recommended
that
lenders
con1nue

•
 Receive
NHCA
online
newsle:er to
register
their
clients
in
DirectConnect
to
simplify
the
counseling

•
 Receive
research
and
aggregate
data
and
repor1ng process
for
their
borrowers.
Lender
subscribers
accessing

•
 Par1cipate
in
industry
mee1ngs
and
conferences DirectConnect’s
Web
site
can:
•
 Par1cipate
in
the
development
of
industry
best
prac1ces •
 Generate
a
customized
counseling
informa1on
pack
tailored
to

•
 Receive
referrals
through
the
lis1ng
and
maps
on
the
NHCA
 the
needs
of
their
individual
client
Web
site •
 Ensure
that
complete
and
accurate
lender
informa1on
is

•
 Access
to
NHCA’s
counseling
management
system,
which
 provided
to
the
counseling
agency
(reducing
administra1ve

provides
standardized
counseling
protocol,
billing
and
 problems
and
client
confusion)
collec1ng
of
the
counseling
fee,
repor1ng,
tracking
client
 •
 Con1nue
to
use
the
powerful
tracking
and
repor1ng
tools
progress
for
lenders
and
counseling
agencies,
and
HUD,
CMS,

and
CARS
compliance At
NHCA,
we
take
pride
in
our
member
agencies
and
the
borrowers

•
 Access
to
the
member
sec1on
of
the
NHCA
Web
site they
serve.
In
addi1on
to
adhering
to
our
member
standards

•
 Placement
of
the
NHCA
logo
on
the
member
Web
site and
Code
of
Ethics,
member
agencies
agree
to
par1cipate
in
our

•
 Receive
representa1on
to
lenders,
NRMLA,
HUD,
AARP,
NCOA,
 dispute
resolu1on
process
whereby
any
lender
or
senior
can
file
a

regulators,
and
the
media complaint
either
about
an
agency
or
a
reverse
mortgage
counselor.

•
 Receive
quality
improvement
and
research This
can
be
accomplished
on
the
appropriate
page
of
the
NHCA

Web
site
or
the
complaint
can
be
submi:ed
directly
to
Michael

DirectConnect
is
NHCA’s
exclusive
technology
partner,
and
NHCA
 Keene
at
NHCA.
All
complaints
will
be
thoroughly
inves1gated.

member
agencies
have
exclusive
use
of
the
system.
Direct
Connect
 Feedback
will
be
provided
to
the
counseling
agency,
and
all

provides
updates,
enhancements,
and
ongoing
training
to
lenders
 complaints
will
be
tracked
and
recorded
by
NHCA.
and
counseling
agencies
on
how
to
use
the
system.

NHCA
pledges
to
help
and
support
the
delivery
of
high
quality

NHCA
membership
is
open
to
all
HUD‐approved
501(c)(3)
reverse
 reverse
mortgage
counseling
to
seniors,
to
ensure
the
delivery

mortgage
counseling
agencies
with
appropriate
insurance
and
 of
consistent,
reliable
counseling
services,
and
to
develop
a

fidelity
bonding.
In
addi1on,
all
NHCA
member
agencies
will
be
 sustainable
source
of
revenue
for
counseling
agencies
to
offset
the

required
to
adopt
and
follow
both
NHCA
membership
standards
 cost
of
providing
this
much‐needed
service.
NHCA
will
accomplish

and
the
Code
of
Ethics
as
part
of
their
NHCA
membership.
NHCA
 this
by
working
with
HUD,
lenders,
NRMLA,
and
aging
advocates
to

members
ensure
that
reverse
mortgage
counselors
will
provide
 help
improve
the
market
for
reverse
mortgage
counseling.
counseling
services
to
seniors
within
72
hours.

We
hope
everyone
will
be
able
join
us
at
our
NHCA
Annual

Today,
HUD‐approved
reverse
mortgage
lenders
and
their
loan
 Conference
on
March
24,
2009
in
Washington,
DC.
More

officers
face
many
challenges
in
mee1ng
the
reverse
mortgage
 informa1on
will
follow
soon,
and
it
will
be
available
on
our
Web

counseling
needs
for
the
borrowers
they
serve.
NHCA’s
reliable
 site,
www.LearnReverse.org.
technology
plaaorm
provides
a
robust
billing,
tracking,
and
 About Michael Keene : Michael was appointed President of the National
collec1on
system
for
the
payment
of
counseling
fees
under
the
 Housing Counseling Association in July, 2008. He was the Vice President
of New Program Development at Money Management International for the
new
“borrower
pay”
regula1on
from
HUD.
NHCA’s
interac1ve

previous 5 years. He was responsible for the design, testing, departmental
payment
solu1on
system
offers
borrowers
the
op1on
to
pay
by
 coordination, rollout, and evaluation of new program offerings. Michael.
credit
card
or
ACH
up‐front,
or
to
finance
their
counseling
fee
into
 Keene@LearnReverse.org 510.287.6085

Dec 08 / Jan 09 23
24 reversereview.com
Lessons
Learned
from 2008
Brett Varner

A
s we look at 2008, most of the Reverse Mortgage industry will agree, this year was
a much more challenging year than we anticipated. Even as the economic downturn
solidified its foothold, many of us saw it as greater opportunity to communicate the
benefits of the program.

For those who survived, 2008 provides a wealth of information and lessons to draw upon as
this industry continues to mature and grow. A simple lesson I learned from a coach when I
was a young man, “It’s easy to stand tall when everything is going your way, but the true
measure of man is how he reacts when tested by difficult challenges.”
»
Dec 08 / Jan 09 25
“The overriding lesson of 2008 is simple, this industry rep
lives and provide respect, dignity and security to older A
the American
With
that
in
mind,
the
following
are
thoughts
on
some
of
 Messaging
direct
to
the
needs
of
a
diverse
clientele
requires

the
lessons
learned
in
2008
and
what
they
mean
to
us
as
an
 a
more
“laser”
approach
that

industry. requires
further
defining
the
market

in
to
sub‐segments
using
more

RM
is
NOT
Recession
Proof
–
Although
few
people
could
 specific
metrics.

A
be:er
defined

have
been
prepared
for
the
depth
and
breadth
of
the
 target
allows
a
company
to
cra`
a

looming
recession,
this
industry
saw
opportunity
on
 message
that
speaks
to
the
needs

the
horizon.

As
returns
and
values
of
re1rement
assets
 of
that
specific
group.

Although

decreased,
Reverse
Mortgage
was
primed
to
be
seen
 this
approach
should
lead
to
a

by
seniors
as
a
safe
haven.

What
other
vehicle
in
this
 be:er
qualified,
more
interested

environment
would
provide
them
a
security
blanket
to
 lead,
it
can
be
a
risky
approach

weather
the
storm
and
maintain
or
improve
their
quality
 if
the
message
fails
to
reach
the

of
life?

Most
originators
overlooked
the
debilita1ng
fear
 demographic.

The
truth
is
many

created
by
an
uncertain
market.

Seniors
who
could
truly
 direct
mail
companies
do
not
yet

benefit
from
this
product
chose
the
perceived
safety
of
doing
 understand
the
senior
popula1on.
nothing,
even
in
cases
of
mortgage
lates
and/or
tax
defaults.


As
the
nightly
news
portrayed
economic
doom
and
gloom,
 People
are
More
Important
than

many
older
Americans
seemed
to
shut
down
and
choose
 Product
–
The
most
common

the
head
in
the
sand
approach
–
by
ignoring
their
financial
 mistake
in
Reverse
Mortgage
sales
is

difficul1es,
they
didn’t
exist.

RM
Specialists
could
do
li:le
 that
it
is
about
the
product.

Many

more
than
ask
with
exaspera1on,
“If
you
do
nothing,
will
 salespeople
believe
that
if
they
can

things
get
be:er?” explain
the
product,
it
will
sell
itself.


We
have
all
heard
the
comment

Direct
Mail,
Just
Send
More?
–
Early
in
2008,
companies
 from
consumers,
“It
just
sounds
too

sending
direct
mail
saw
a
surprisingly
large
drop
in
response
 good
to
be
true.”

Conven1onal
RM

rates.

At
first,
we
tried
to
explain
it
away
with
the
volume
of
 wisdom
says,
“With
a
product
like

poli1cal
mail
during
a
conten1ous
elec1on
year.

Marketers’
 this,
a
proficiency
in
explaining
how

response
was
to
increase
volume.

As
long
as
conversion
 it
works
should
be
enough.”

It
isn’t.
rates
stayed
steady,
the
only
drawback
was
an
increase

in
the
transac1onal
marke1ng
cost.

Of
course,
marke1ng
 I
call
this
the
“Order
Taker”
vs.
the

experts
had
not
yet
realized
the
reality
of
the
market
place
 “Trusted
Advisor”.

Simply
put,
the

and
its
impact
on
conversion
rates.

Costs
increased,
revenue
 Order
Taker
regurgitates
everything

decreased
–
some
companies
survived,
some
didn’t.

 about
the
product
and
then
waits

for
the
consumer
to
come
to
the

The
ques1on
that
kept
coming
to
my
mind
is,
“Who
are
we
 checkout
line.

The
Trusted
Advisor

talking
to?”

In
many
of
the
mail
pieces,
the
message
was,
for
 seeks
to
truly
understand
what
the

the
most
part,
the
same,
“Government‐Insured,
No
Monthly
 client
is
facing
and
strives
to
provide

Payments,
Tax‐Free
Income,
No
Credit/Income
Qualifying.”

 meaningful
solu1ons
based
upon
the

What
solu1on
does
this
program
descrip1on
provide?

 client’s
needs.

The
advisor
is
able
to

detail
what
the
client
should
do
to

This
“shotgun”
approach,
blanke1ng
area
of
homeowners
 improve
their
situa1on
and
guides

62
and
over,
provided
a
reasonable
response
for
some
1me
 them
through
the
process.
as
it
piqued
the
interest
of
a
sufficient
number
of
seniors.


However,
as
the
challenges
faced
by
seniors
have
become
 From
a
management
perspec1ve,
there
is
no
bigger
drain

more
complex,
this
approach
fails
to
communicate
directly
 on
a
company’s
resources
than
the
Order
Taker.

The

with
the
recipients. Order
Taker
is
generally
a
script
reader,
spewing
product

informa1on
and
is
unable
to
adeptly
veer
off
script
to


26 reversereview.com
 presents a product that truly has the capability to change
Americans who represent so much of what is important to
Way of Life.”
respond
to
a
client’s
lack
of
understanding
or
fear
based
 Yes,
the
influx
of
“compe1tors”
has
siphoned
off
a
share

objec1ons.

The
Order
Taker
either
 of
exis1ng
business
from
established,
dedicated
Reverse

lacks
capability,
or
just
plain
fails,
to
 Mortgage
companies.

However,
the
vast
majority
of
new

develop
sufficient
rela1onship
with
 entrants
have
failed
to
produce
more
than
a
few
loans
per

their
prospects
to
be
able
to
address
 month.

Many
have
vanished
as
quickly
as
they
appeared.


issues
in
a
straighaorward
manner
 Why
is
this?

Simply,
their
business
models
were
unprepared

that
helps
a
client
overcome
the
 for
the
slower
sales
cycle
of
the
Reverse
Mortgage
market.


o`en
misguided
objec1ons. High
ini1al
expenditures,
combined
with
slower
developing

revenues
have
been
unsustainable
for
many
companies.


The
Trusted
Advisor,
conversely,
 Others,
in
response
to
failing
interest
rates,
have
gleefully

maximizes
results
by
listening
to
 returned
to
their
“turn
and
burn”
forward
models.
his
clients,
spending
more
1me

asking
ques1ons,
listening
to
the
 Current
trends
suggest
that
the
siphoning
effect
will
be

concerns
of
the
prospect.

Fostering
 short‐lived.

In
the
long
run,
established,
dedicated
reverse

a
be:er
understanding
of
the
 Mortgage
companies
will
con1nue
to
dominate
market

individual
client
allows
them
to
 share.

Although,
as
in
any
maturing
market,
the
number
of

cra`
informa1on
based
upon
the
 quality
companies
controlling
the
market
will
increase
(not

specific
needs.

Ul1mately,
they
 withstanding
some
expected
consolida1on),
companies

consistently
relate
the
program’s
 looking
to
Reverse
Mortgage
as
a
stop
gap
measure,
quick
hit

benefit,
not
in
financial
terms,
but
 product,
or
add‐on
feature
will
fail
to
gain
significant
foo1ng

in
more
important
personal,
quality
 in
this
space.
of
life
enhancing
aspects.

Although

this
sales
type
generally
has
high
 For
those
companies
dedicated
to
the
Reverse
Mortgage

conversion
rates,
the
inherent
 space,
we
need
each
other.

We
all
have
a
vested
interest

danger,
if
poorly
managed,
is
too
 in
fostering
a
posi1ve
image
of
the
commitment
to
and

much
focus
on
rela1onship
that
 concern
for
the
clientele
we
serve.

With
a
commitment
to

lengthens
the
sales
cycle
and
limits
 understanding
our
demographic
and
a
focus
on
service,
it

the
number
of
clients
they
can
assist. will
be
the
clients
that
choose
the
company
that
best
suits

their
needs
and
dedicated
companies
will
get
be:er
at

The
struggles
of
2008
has
helped
to
 iden1fying
their
“ideal”
prospect.
filter
out
order
takers
and
generate

more
opportunity
for
advisors.

 The
overriding
lesson
of
2008
is
simple,
this
industry

The
challenge
for
2009
is
to
focus
 represents
a
product
that
truly
has
the
capability
to
change

on
helping
the
Trusted
Advisors
 lives
and
provide
respect,
dignity
and
security
to
older

maximize
their
produc1on
capacity. Americans
who
represent
so
much
of
what
is
important
to

the
American
Way
of
Life.

We
are
in
the
unique
posi1on
to

The
Reality
of
Compe11on
–
A`er
 build
careers
while
giving
something
back
for
the
lives
and

mul1ple
years
of
significant
growth,
 sacrifices
they
have
made
for
their
families,
communi1es

the
Reverse
Mortgage
sector
 and
country.
garnered
increased
a:en1on
as

the
subprime
“meltdown”
le`
many
 We
have
a
duty
and
responsibility
to
learn
from
our

“other”
en11es
looking
for
the
next
“easy”
buck.

This
 experiences,
con1nue
to
improve
this
industry
and
help

product
seemed
ripe
for
the
picking.

Clearly,
it
couldn’t
get
 protect
its
integrity.

We
set
the
standard
that
par1cipants,

any
easier:
no
credit
score
or
income
qualifying,
just
“age
&
 new
or
old,
must
con1nually
aspire
to.
equity.”

This
had
to
be
the
next
“refi”
boom.

Dec 08 / Jan 09 27
 The Reverse Mortgage
Marketing Plan

Tom Emmerson
If
you
are
a
Reverse
Mortgage
expert
and
plan
on
building
 Reverse
Mortgage
blog
(sandrawileyonreversemortgages.
your
mortgage
business
with
Reverse
Mortgages,
READ
ON!!

 blogspot.com).

Sandra
is
the
na1onal
trainer
for
Allied
Home

Now,
if
you
plan
to
dabble
and
do
a
few
Reverse
Mortgages
 Mortgage
Capital
Corpora1on.
here
and
there,
you
may
want
to
stop
reading
and
turn
the

page
to
the
next
ar1cle. Using
Direct
Mail
to
Generate
Revenue

Reverse
Mortgage
is
one
of
the
few
–
if
ONLY
–
growing
 If
you
have
never
used
direct
mail
as
part
of
your
marke1ng

products
in
the
mortgage
world.

It’s
a
great
place
to
 program
in
the
past,
I
encourage
you
to
read
on.

O`en
1mes

be,
however,
it
is
a
far
different
world
than
the
forward
 people
don’t
u1lize
this
valuable
resource
available
to
them

mortgage. because
they
don’t
fully
know
the
benefits
they
can
reap.


My
goal
in
this
por1on
is
to
educate
you
on
direct
mail
and

Once
you
have
made
the
decision
to
focus
your
business
 show
you
the
value
it
can
bring
to
your
business.
on
Reverse
Mortgage,
the
best
thing
you
can
do
is
posi1on

yourself
as
the
expert
in
this
field
in
your
community.

Some
 Origina1ng
loans
through
direct‐mail
lead
genera1on
is

helpful
1ps
would
be
to
a
guest
on
a
local
radio
show
that
 the
most
effec1ve
and
profitable
means
to
increase
your

caters
to
the
senior
crowd.

You
may
even
be
able
to
be
on
 monthly
funding
volume.

You
as
a
mortgage
broker
should

weekly
and
provide
helpful
informa1on
to
the
listeners,
as
 maximize
your
sales
produc1vity
by
inves1ng
most
of
your

well
as
market
yourself
and
your
services.

Another
great
 1me
in
pre‐qualified
leads.

Prospec1ng
is
a
low‐wage
job;

idea
is
to
contact
local
churches
or
senior
centers.

Partner
 selling
is
a
high‐paid
job!

Why
would
you
use
highly
paid

with
your
local
estate
a:orney(s)
and
join
a
network
 salespeople
to
do
low‐wage
work?
group.

This
will
give
you
great
visibility
in
the
professional

community. Direct‐mail
marke1ng
can
be
very
effec1ve
but
it’s
not
as

easy
as
you
may
think.

Why?

Because
direct‐mail
doesn’t

As
you
begin
to
align
yourself
in
your
community,
you
will
 work
as
well
as
it
used
to.

Part
of
the
problem
is
there

begin
to
reap
the
benefits
of
the
hard
work.

You
will
soon
 is
so
much
of
it
satura1ng
people’s
mail
boxes
today
and

learn
‐
if
you
have
not
already
‐
seniors
are
very
loyal
and
will
 because
of
that
–
people
have
learned
to
ignore
it.

The

be
a
great
source
of
adver1sement
for
your
business.

If
you
 biggest
problem
with
any
adver1sing
medium
today
is
that

provide
the
best
service
to
one
senior
couple,
they
are
sure
 it
fights
for
people’s
a:en1on
by
interrup1ng
them;
but

to
share
it
with
their
friends
and
those
friends
will
be
asking
 there
is
far
too
much
going
on
in
people’s
lives
for
them
to

for
your
name
and
number! be
interrupted.

America
is
an
over‐communicated
society
–

and
therein
lies
the
problem.

Even
though
more
businesses

You
must
also
keep
yourself
educated
on
the
Reverse
 are
using
direct‐mail,
it
is
actually
less
effec1ve.

Direct‐mail

Mortgage
product.

There
are
improved
programs
and
 is
a
vic1m
of
its
own
success.

But
when
direct‐mail
works

updated
laws
and
you
need
to
stay
on
top
of
these
changes.

 –
it’s
unbeatable!

When
you
find
the
right
formula
for
your

This
will
allow
you
to
provide
top‐notch
service
to
your
 specific
needs,
it
can
be
magic.


senior
clients.

Joining
an
organiza1on
such
as
REMALO

(Reverse
Mortgage
Associa1on
for
Loan
Officers)
will
provide
 Let
the
magic
of
high‐impact
direct‐mail
work
for
you
by

you
some
excellent
tools
to
keep
you
on
top
of
the
latest
 genera1ng
a
con1nuous
flow
of
cost
efficient
leads
which

news,
marke1ng
1ps
&
other
great
resources
in
Reverse
 can
radically
maximize
your
monthly
funding
volume.

The

Mortgage
industry.

Another
great
resource
is
Sandra
Wiley’s following
are
some
strategies
and
concepts
you
should

employ
to
make
your
direct‐mail
marke1ng
successful.

28 reversereview.com
U6lize
Professional
Support There
are
several
costs
associated
with
Direct
mail,
but
make

sure
not
to
focus
only
on
what
you
have
to
spend;
also
look

Direct
mail
looks
easy
enough.

You
print
out
your
le:er
 at
the
poten1al
dollars
you
can
earn
on
your
investment.


along
with
mailing
indicia
on
your
envelope;
get
your
trays
 A
carefully
planned
and
executed
direct
mail
program
can

&
tags
and
you’re
ready
to
go,
right?

WRONG!

Direct‐mail
 mean
a
significant
response
from
poten1al
customers.

That

should
NEVER
be
a
do‐it‐yourself
ac1vity!

Without
the
 increased
response
will
translate
into
sales
and
profits.

So

professional
services
of
a
direct‐mail
company,
you
run
the
 instead
of
asking
“how
much
will
this
mailing
cost?”

The

risk
of
losing
valuable
1me
and
money
by
trying
to
tackle
the
 primary
considera1on
really
ought
to
be
the
results.


project
yourself.

Today,
efficient,
accurate
and
deliverable

direct‐mail
requires
up‐to‐the‐minute
knowledge
of
mailing
 Look
at
the
level
of
sophis1ca1on
of
the
mail
that
comes
to

costs,
list
hygiene,
proper
formats,
automa1on
discounts,
 your
home
–
and
office
–
on
a
daily
basis.

High‐quality
mail

carrier
routes,
bar
codes…
the
list
goes
on
and
on. gets
your
a:en1on,
and
a:rac1ng
a:en1on
means
geyng

your
message
across.

You
don’t
have
to
adopt
a
“sky’s
the

Direct‐mail
is
a
science
that
professional
mail
companies
 limit”
aytude.

However,
if
you
are
willing
to
spend
just
a

work
with
every
day.

You
should
not
assume
that
you
can
do
 li:le
more
on
a
be:er
design
and
copy,
your
ability
a:ract

what
they
do
with
equal
exper1se.

They
do
the
most
good
 more
prospects
are
likely
to
improve.

If
you
are
willing
to

for
those
clients
who
put
their
trust
in
them
and
who
turn
to
 invest
in
a
slightly
be:er
mailing
list,
you
may
reach
some

them
as
direct‐mail
experts.

 key
prospects
you
might
otherwise
have
missed.



Why
divert
yourself
from
what
you
do
best
in
your
business
 So
remember,
don’t
focus
on
the
cost
of
the
mailing.


to
handle
the
countless
details
involved
in
geyng
your
mail
 Instead,
look
at
the
cost
in
rela1on
to
the
increased
results

campaign
to
the
post
office
when
support
is
only
a
phone
 you
can
achieve
by
inves1ng
a
li:le
more.
call
away?

THERE'S A BETTER WAY

Dec 08 / Jan 09 29
Consistent
Mailing
Provides
Consistent
Response with
the
greatest
need
for
a
Reverse
Mortgage.



Ever
no1ce
how
few
responses
you
get
on
a
weekly
basis
 Next
is
the
envelope,
choosing
the
right
package
to
deliver

when
you
don’t
mail
anything?

Silly
ques1on,
I
know.

But
a
 your
message
is
cri1cal.

You
have
approximately
3
seconds

company
that
does
mail
can
generate
incredible
response.

 to
make
it
into
the
“keep”
pile.

Americans
sort
their
mail

over
the
trash
can!

Make
sure
you
choose
a
package
that

Many
companies,
however,
do
not
see
this
cause
and
effect
 doesn’t
get
sent
to
the
garbage
heap!

Some
helpful
hints

rela1onship.

So
here
is
the
result:

If
you
mail
every
day,
 to
make
it
into
the
keeper
pile
are
to
use
different
color

you
are
likely
to
receive
responses
every
day.

Likewise,
 envelopes
–
something
that
will
stand
out
against
the
rest

if
you
mail
every
week
or
month
–
you
are
more
likely
to
 of
the
bills
and
mailers.

Second,
use
hard‐hiyng
copy
while

get
responses
weekly
/
monthly.

It’s
a
cycle
you
create
&
 making
it
short
and
sweet
and
making
it
beneficial
to
the

control! senior
consumer.

Remember,
this
is
about
them
–
not
you!

Watch
out
for
the
inevitable
piaall
–
geyng
sidetracked!

For
 Once
you
win
the
ba:le
and
your
envelope
is
opened
–
have

example,
when
business
is
booming,
there
is
the
tempta1on
 a
great
mailer
inside
for
them
to
read!

When
developing

to
stop
mailing.

You
are
so
wrapped
up
in
following
up
and
 your
le:er
copy
–
remember,
there
are
three
words
that

closing
the
deals
that
direct‐ are
most
important
in
direct‐
mail
can
fall
by
the
wayside.

So,
 mail
copy.

The
first
is
YOU.


what
happens
when
you
have
 This
allows
you
an
opportunity

completed
your
follow
up
and
 “What
does
free
cost
you?

It
might
 to
appear
close
and
in1mate

deal
closings?

If
you
haven’t

tried
to
generate
new
leads,

cost
nothing,
because
every
2me
 with
your
reader.

You
might

be
surprised
how
many
more

none
will
be
coming
in,

and
no
 you
give
something
away
free,
 1mes
words
like
we,
us,
or
our

new
leads
equals
no
new
sales. you
get
something
in
return
–
an
 appear
in
copy,
rather
than
you.


By
using
these
words,
you
shi`

Through
a
consistent
mailing
 opportunity
to
present
your
story,
 a:en1on
away
from
the
reader’s

program,
each
lead
arrives
as
 and
that
moves
you
closer
toward
 needs
to
yours
as
a
seller.


needed,
and
will
help
minimize
 However,
by
using
the
word
you,

the
peaks
and
valleys
in
your
 your
goal
–
to
sell.” the
message
is
geared
directly

sales
ac1vi1es.

Consistency,
 toward
your
prospect,
and
you

whether
that
means
mailing
 reassure
them
that
they
are
the

weekly
or
monthly
for
you,
along
 important
prospect
you
have

with
the
sales
that
go
with
it,
works
towards
developing
and
 and
that
you
understand
their
needs,
wants,
and
desires.
maintaining
a
consistent
mailing
schedule.

Addi1onaly
using

a
professional
direct‐mail
company
can
make
this
happen
for
 The
second
more
important
word
u1lized
in
direct‐mail

you
almost
effortlessly.

They
can
coordinate
your
mailings
 is
FREE.

Free
implies
the
greatest
possible
value,
over

based
on
your
requirements.

They
will
make
it
happen
with
 and
above
the
price
of
the
merchandise.

Free
implies
an

li:le
of
your
1me
or
effort
needed
to
do
so. openness
that
no
other
word
conveys.

More
than
any
other

word,
free
invites
your
prospect
to
look
at
your
product,

Elements
of
Direct‐Mail
Success service
or
offer
without
making
a
commitment.

Free
is
an

opportunity
for
you
to
reach
a
prospect
who,
by
responding

There
are
three
main
elements
involved
in
direct‐mail
 to
your
free
offer,
is
labeling
himself
as
interested
in
you
and

success.

Mailing
data
lists,
the
outside
package
(envelope)
 your
product
or
service.
and
the
inside
crea1ve.

Each
of
these
play
an
important

role,
but
the
list
is
60%‐70%
of
the
success
of
any
mailing
 What
does
free
cost
you?

It
might
cost
nothing,
because

campaign.

 every
1me
you
give
something
away
free,
you
get
something

in
return
–
an
opportunity
to
present
your
story,
and
that

When
mailing
–
remember
to
target
prospects
–
not
 moves
you
closer
toward
your
goal
–
to
sell.
suspects!

Important
selects
for
a
Reverse
Mortgage
list
are

easy
to
remember:
age
(62
and
up),
homeowner,
home
value

&
credit
worthiness.

It
has
been
found
through
tes1ng
that

those
prospects
with
a
few
credit
derogatories
are
those

»
30 reversereview.com
 THERE'S A BETTER WAY
to get reverse closing documents.

#SJOHJOH
PVS
GPSXBSE
UFDIOPMPHZ
FYQFSJFODF
BOE
ýFYJCJMJUZ
UP
UIF
SFWFSTF
NPSUHBHF
NBSLFU

*%4
*OD

t




t

XXXJETEPDDPN
The
third
most
important
word
in
direct‐mail
is
NEW.

In
a
 informa1on
about
your
product
or
service
as
you
wish.

The

society
like
ours
that
is
envious
of
anything
and
everything
 fi`h
and
final
vantage
point
–
a
handwri:en
personalized

new,
isn’t
it
strange
that
we
rarely
see
a
new
way
of
 note
placed
on
a
yellow
s1cky
note
and
a:ached
to
your
ad.


expressing
that
which
is
new?

You
cannot
find
a
word
in
 This
is
your
call
to
ac1on!

A
great
1p:

a
signature
or
ini1al

the
English
language
that
is
more
straighaorward
or
concise
 included
on
your
note
can
be
a
great
way
to
keep
your
ad
in

to
convey
the
essence
of
new.

When
you
adver1se
a
new
 your
prospect’s
hand.

They
will
read
your
ad
and
ponder
“I

product
or
service,
you
are
offering
your
customer
the
 wonder
who
sent
this
to
me?”
chance
to
be
the
first
at
having
it,
or
you
provide
them
with

the
opportunity
to
do
something
different
and
exci1ng.

 Seminar
packages
are
the
last
op1on
for
mailers.

These
are

People
simply
like
the
feeling
of
new.

 ideal
to
use
in
the
senior
community
as
this
helps
you
build

trust
with
your
prospects.

Important
pointers
of
a
seminar

These
three
words
will
never
lose
their
effec1veness.

Be
 are
to
provide
a
meal
in
a
comfortable
dining
atmosphere

sure
to
keep
these
in
mind
when
developing
your
direct‐mail
 while
educa1ng
seniors
on
Reverse
Mortgage
and
scheduling

copy. an
appointment
for
follow
up.

This
is
one
of
the
best
direct‐
mail
tools
to
use.
Direct‐Mail
Packages
In
your
direct‐mail
campaign,
seniors
and
their
friends
are

Now
that
you
know
the
importance
of
direct‐mail,
how
it
 invited
to
a:end
a
free
dinner
at
a
local
restaurant.


Once

works
and
important
hints
to
developing
your
own
package
 there,
give
a
short
talk
about
how
Reverse
Mortgages
work

–
let
me
share
a
few
package
op1ons
you
should
look
into
 and
allow
for
a
ques1on
and
answer
session.

A`erward,

for
your
next
campaign
that
yield
the
best
results
among
the
 they
enjoy
a
complimentary
dinner
with
their
friends,
while

senior
popula1on. you
have
a
chance
to
meet
and
talk
with
poten1al
clients
and

set
up
later
appointments.

This
type
of
package
allows
you

The
first
op1on
is
the
Lead
Genera1on
Package.

This
is

to
build
credibility
in
your
community
and
generate
leads.

If

the
most
basic
of
the
pieces.

This
package
consists
of
the

you
were
to
mail
a
seminar
package
once
a
month,
you
can

le:er
and
a
call
to
ac1on
by
the
prospect
to
either
call
you

expect
to
generate
100
new
prospects
in
that
month.

Done

for
more
informa1on
or
set
up
an
appointment.

Another

over
a
12
month
period
–
that
is
1,200
prospects
in
seminar

possible
op1on
in
this
type
of
mailer
is
to
insert
a
business

leads
in
per
year!

return
card
for
the
prospect
to
complete
and
mail
back
to

you
for
more
informa1on.

While
this
mailing
package
is
 Building
Your
Data
Base
effec1ve,
it
does
yield
lower
responses
than
the
other
two
I

will
share
with
you.

You
can
expect
to
average
a
.5%
‐
1.5%
 A`er
building
your
data
base,
you
should
put
in
place
a

response
rate
on
this
package. monthly
drip
campaign.

A
drip
campaign
consists
of
mailing

your
prospects
and
clients
on
a
monthly
basis.

Having
a
drip

The
second
op1on
is
the
tear
off
sheet.

These
packages
 campaign
in
place
shows
you
are
stable
and
trustworthy;

a

are
eye
catching
from
the
envelope!

There
are
5
vantage
 prospect
you
mail
to
in
January
may
not
have
any
interest

points
when
doing
a
tear
sheet
mailing.

First
–
these
are
 in
a
Reverse
Mortgage,
but
maybe
in
June
or
July,
that
same

plain
white
envelopes
with
no
return
address.

Recipients
 prospect
will
find
themselves
in
need
and
if
you
are
mailing

aren’t
comfortable
throwing
out
a
piece
of
mail
without
 monthly
‐
your
mailer
will
hit
at
just
the
right
1me
and
meet

knowing
who
sent
it,
and
the
curiosity
draws
them
inside
 the
need
of
this
senior.
your
envelope
–
overcoming
the
big
obstacle!

Second
–
the

recipient’s
name
and
address
will
be
handwri:en
on
the
 I
hope
you
will
put
this
informa1on
to
use
and
u1lize
these

envelopes.

There
is
no
use
of
labels
or
barcodes
on
your
 techniques
in
your
next
direct‐mail
campaign.

If
you
are

mailer.

Third
–
a
live
first‐class
stamp
is
placed
on
the
mailer.

 looking
to
direct‐mail
for
the
first
1me,
or
have
been
trying

Savvy
recipients
know
that
bulk
or
presorted
stamps
signal
 to
tackle
campaigns
on
your
own
–
give
me
a
call
today.


unwanted
solicita1ons.

Fourth
–
your
tearsheet
inside
the
 My
goal
is
to
make
your
campaign
as
profitable
for
you
as

envelope
is
a
customer
adver1sement
for
you
and
your
 possible.

I
can
provide
you
the
pieces
and
the
tools
to
make

product.

It
will
look
as
though
it
were
torn
from
the
pages
 that
happen.

I
will
be
happy
to
show
you
samples,
provide

of
a
popular
magazine
or
newspaper.

To
the
recipient,
it
will
 you
counts
and
show
you
just
how
easy
it
is
to
execute
a

appear
as
if
someone
has
gone
to
the
trouble
of
personally
 Reverse
Mortgage
campaign
quickly
and
easily
by
using
a

tearing
out
your
ad
and
sending
it
to
him
or
her.

Your
 professional
mail
company.

Best
of
luck
to
you
in
the
coming

message
MUST
be
important
if
someone
has
gone
to
all
 New
Year!
that
trouble.

The
tearsheet
allows
you
to
convey
as
much


32 reversereview.com
 www.monterose.com

I’m Monte Rose. My mission is to help individuals and sales organizations

achieve predictable productivity.

During my two decades of sales experience as a producer, manager, and

executive in the reverse mortgage business, I observed the key concept to
sales success: uniting strategic insight with skilled action. High performers
move from being effective to efficient, and scale their business by
embracing the Laws of Lift.

JOIN Monte's Monthly MyTRAC Mentoring Webinars NOW!

© Copyright 2008 MonteRose.Biz LLC. All Rights Reserved.

MonteRose.Biz LLC, 17100 Gillette Avenue, Suite 131, Irvine, CA 92614 • Tel: 1-800-516-0545 • Email: info@monterose.com

Visit our website today!

Kitchen Table Mastery for the Reverse Mortgage Professional

Balance Expertise and Empathy, Sales Facility and Fiduciary Responsibility,
Selling and Serving . . . and you will Deliver the Best to your clients.
Read all these in Monte’s new release.
Visit our website to read Chapter 8:
Calibrate to Communicate now!
Go to www.monterose.com
Dec 08 / Jan 09 33
 YEAR FOR THE RECORD BOOKS
A Year-End Review of
2008 FHA Mortgagee Letters
Weiner Brodsky Sidman Kider PC
As
consumers
of
informa1on,
we
are
all
accustomed
to
seeing
 advances
occurring
in
the
future)
resulted
in
very
few
of
these

year‐end
reviews
on
a
whole
range
of
subjects
each
December.

 loans
having
been
originated.


As
this
tumultuous
year
within
the
financial
sector
draws
to

a
close,
it
is
no
different.

Even
though
the
reverse
mortgage
 ML
2008‐08,
while
providing
long‐awaited
guidance
for
lenders

industry
has
weathered
the
storm
quite
well,
there
have
 to
encourage
the
offering
of
fixed‐rate
HECMs,
has
been
a
mixed

nonetheless
been
many
significant
changes,
as
best
highlighted
 blessing,
providing
some
clarifica1on
but
failing
to
address
a

in
our
year‐end
review
of
2008
Mortgagee
Le:ers
issued
by
 number
of
cri1cal
issues.

Importantly,
ML
2008‐08
clarified
that

Federal
Housing
Administra1on
(FHA)
concerning
its
Home
 fixed
rate
HECMs
may
be
structured
as
open‐end
or
closed‐end

Equity
Conversion
Mortgage
(or
HECM)
program.


 credit
and
authorized
lenders
origina1ng
fixed
rate
HECMs
to

make
the
necessary
and
appropriate
modifica1ons
to
the
loan

HECMs
are
the
FHA‐insured
reverse
mortgage
loan
program.

 documents
to
conform
to
ML
2008‐08
and
ensure
compliance

HECM
loans
are
authorized
by
Sec1on
255
of
the
Na1onal
 with
FHA’s
requirements
and
applicable
laws.

Per
ML
2008‐08,

Housing
Act
(or
NHA),
and
are
primarily
governed
by
the
rules
 lenders
must
also
ensure
their
fixed
rate
HECM
loan
documents

and
regula1ons
of
the
FHA,
including,
in
no
small
measure,
 (i.e.,
the
HECM
first
and
second
notes
and
the
HECM
Loan

Mortgagee
Le:ers.

As
this
ar1cle
went
to
press,
FHA
had
issued
 Agreement)
clearly
indicate
whether
the
loan
is
structured
as

9
le:ers
in
calendar
year
2008
concerning
its
HECM
program,
a
 open
of
closed‐end
credit.
record
number
reflec1ng
the
record
pace
of
change
within
our

industry.

 Pursuant
to
ML
2008‐08,
lenders
must
be
able
to
offer
all
of

the
standard
HECM
payment
plans
(i.e.,
the
term,

ML
2008
–
08 tenure,
line
of
credit,
and
modified
term
or

tenure
plans)
to
senior
borrowers
obtaining

Star1ng
with
a
bang
in
March
2008,
FHA
published
ML
 a
fixed
rate
HECM.

Unfortunately,
FHA

2008‐08,
which
clarified
the
ability
of
FHA‐approved
 did
not
expressly
provide
that
lenders

mortgagees
to
offer
fixed
interest
rate
HECM
loans
to
 may
charge
different
fixed
interest
rates

senior
applicants.

While
FHA‐
approved
mortgagees
 based
upon
the
borrower’s
choice
of

have
always
been
permi:ed
to
originate
fixed
 payment
plan.

In
addi1on,
senior

interest
rate
HECM
loans,
lack
of
clarity
 borrowers
must
be
able
to
change

concerning
a
lender’s
ability
to
structure
 payment
plan
op1ons
during
the

a
HECM
loan
that
mi1gated
interest
 term
of
the
fixed
rate
HECM,

rate
risk
(or
the
risk
of
a
 as
long
as
the
borrower’s
net

mismatch
between
the
 principal
limit

lender’s
cost
of
funds
 remains

and
the
fixed
note

rate
for


34 reversereview.com
available.

The
monthly
servicing
fee
on
a
fixed
rate
HECM
may
 session
with
a
HUD‐approved
counselor
is
a
pre‐requisite
to

not
exceed
$30
and
the
charge
for
a
payment
plan
change
is
 the
final
applica1on
for
a
HECM
loan.
Thus,
counselors
serve
a

limited
to
$20.
 “gatekeeper”
func1on
for
the
reverse
mortgage
industry,
and

mandatory
HECM
counseling
must
occur
prior
to
the
“point
of

Finally,
ML
2008‐08
mandated
that
the
expected
average
 sale”
of
a
HECM
loan.
mortgage
interest
rate
used
to
calculate
the
senior
applicant’s

Principal
Limit
must
be
the
same
as
the
HECM
note
rate
of
 Among
other
things,
ML
2008‐12
implemented
rules
published

interest.

The
expected
average
interest
rate
and
the
note
rate
 by
HUD
in
September
of
2007
as
a
revision
of
HUD’s
broader

must
be
set
simultaneously.

Note,
also,
that
although
FHA‐ rules
on
counseling.

The
rule
provided
that
counseling
agencies

approved
mortgagees
are
permi:ed
to
lock
the
mortgage
 may
charge
a
fee
to
a
prospec1ve
borrower
as
long
as
the
fee

interest
rate
on
fixed
rate
HECM
transac1ons,
FHA
rules
and
 is
reasonable
and
customary,
and
does
not
create
a
financial

guidance
in
other
mortgagee
le:ers
prohibit
lenders
from
 hardship
for
the
borrower.

ML
2008‐12
makes
clear
that

charging
a
fee
for
locking
the
interest
rate. counseling
agencies
must
inform
borrowers
of
the
fee
structure

prior
to
counseling,
and
that
a
borrower
cannot
be
turned
away

Despite
the
guidance
provided
in
ML
2008‐08,
there
remain
a
 due
to
the
borrower’s
inability
to
pay
for
counseling.

HUD

number
of
challenges
for
lenders
offering
fixed‐rate
HECMs.

 determined
that
a
reasonable
fee
for
counseling
cannot
exceed

Some
of
the
issues
include
the
treatment
under
a
fixed
rate
 $125,
but
that
the
fee
must
be
not
be
excessive
and
must
be

HECM
of
unused
funds
remaining
from
a
repair
set
aside
set
up
 commensurate
with
the
services
actually
performed.

Payments

at
closing
and
the
treatment
of
funds
that
may
become
available
 for
counseling
must
be
disclosed
in
the
800
series
on
the
HUD‐1.
to
the
borrower
a`er
the
closing
of
a
fixed
rate
HECM
due
to
the

growth
in
the
net
principal
limit.

Lenders
offering,
or
interested
 ML
2008‐24
in
offering,
fixed‐rate
HECMs
should
consult
with
their
legal

counsel
to
evaluate
these
issues. In
the
first
mortgagee
le:er
issued
to
provide
guidance
on
new

requirements
applicable
to
HECM
loans
and
FHA‐approved

ML
2008‐12 mortgagees
under
the
Housing
and
Economic
Recovery
Act
of

2008
(or
HERA),
ML
2008‐24
addressed
the
prohibi1on
against

ML
2008‐12
is
another,
in
a
long
line
of
mortgagee
le:ers,
that
 the
selling
of
other
financial
or
insurance
products
in
connec1on

address
counseling.

A
senior
a:ending
a
counseling with
a
HECM
loan.

ML
2008‐24
also
implemented
»

Dec 08 / Jan 09 35
the
requirement
under
the
HERA
that
all
par1es
par1cipa1ng
in
 assist
the
FHA
in
determining
what
requirements
may
already

the
origina1on
of
a
HECM
be
approved
by
HUD. be
in
existence
to
address
consumer
protec1ons
under
Sec1on

255(n)(1).

For
example,
ML
2008‐24
noted
there
may
be

Sparked
by
a
hearing
on
reverse
mortgages
by
the
Senate
 state
requirements
in
existence
that
already
govern
insurance

Subcommi:ee
on
Aging
in
December
2007,
highligh1ng
the
 products.
plight
of
seniors
sold
non‐suitable
annuity
products
a`er

procuring
a
reverse
mortgage,
HERA
added
new
Sec1on
 ML
2008‐24
also
advised
that
in
the
interim,
un1l
the
FHA
issues

255(n)(1)
to
the
NHA,
which
provides
a
broad
prohibi1on
on
 more
defini1ve
guidance,
mortgagees:
(1)
must
not
condi1on

cross
sales
of
other
financial
or
insurance
products
to
HECM
 a
HECM
on
the
purchase
of
any
other
financial
or
insurance

borrowers.

Specifically,
a
HECM
originator
or
any
other
party
 products,
and
(2)
should
strive
to
establish,
consistent
with

that
par1cipates
in
the
origina1on
of
an
FHA‐insured
HECM
 the
HERA,
firewalls
and
other
safeguards
to
ensure
there
is
no

shall:
(1)
not
par1cipate
in,
or
be
associated
with,
or
employ
 undue
pressure
or
appearance
of
pressure
for
a
mortgagor
to

any
party
that
par1cipates
in
or
is
associated
with,
any
other
 purchase
another
product
of
the
originator
or
the
originator’s

financial
or
insurance
ac1vity;
or
(2)
demonstrate
to
HUD
 company.

that
the
mortgagee
or
other
party
maintains,
or
will
maintain,

firewalls
and
other
safeguards
designed
to
ensure
that
(i)
 Note
that
the
HERA
also
added
a
new
provision
on
an1‐
individuals
par1cipa1ng
in
the
origina1on
of
a
HECM
have
no
 tying.

The
new
Sec1on
255(o)
of
the
NHA
provides
that
a

involvement
with,
or
incen1ve
to
provide
the
mortgagor
with,
 senior
borrower
may
not
be
required
to
purchase
insurance,

any
other
financial
or
insurance
product;
and
(ii)
the
mortgagor
 an
annuity,
or
other
similar
products
in
order
to
obtain
a

shall
not
be
required,
directly
or
indirectly,
as
a
condi1on
of
 HECM
loan.

This
restric1on
does
not
apply
to
certain
types

obtaining
a
HECM,
to
purchase
any
other
financial
or
insurance
 of
insurance
normally
required
with
a
HECM
loan,
such
as

product. 1tle
insurance,
flood
insurance
and
homeowners’
or
casualty

insurance.
ML
2008‐24
announced
that
FHA
will
issue
regula1ons

concerning
this
cross‐sell
prohibi1on,
and
will
seek
comments
 The
HERA
also
added
Sec1on
255(n)(2)
to
the
NHA,
requiring
all

from
the
public,
including
consumer
groups,
industry
 par1es
that
par1cipate
in
the
origina1on
of
FHA‐insured
HECMs

par1cipants
and
other
interested
par1es
through
appropriate
 to
be
approved
by
HUD.

This
requirement
effec1vely
eliminated

administra1ve
means.
The
purpose
of
such
comments
is
to
 the
so
called
“HECM
Advisor”
program
under
which
a
non‐

36 reversereview.com
FHA‐approved
en1ty
could
provide
certain
limited
services
to
a
 FHA
case
numbers
assigned
on
or
a`er
January
1,
2009.



borrower
in
connec1on
with
a
HECM
loan
in
return
for
a
limited
 ML
2008‐33
clarifies
that
senior
borrowers
must
make
a
down

broker
fee.
 payment
sufficient
to
sa1sfy
the
difference
between
the
HECM

principal
limit
and
the
sales
price
for
the
purchased
property,

According
to
ML
2008‐24,
beginning
with
FHA
case
numbers
 plus
any
HECM
loan
related
fees
that
are
not
financed
or

assigned
on
or
a`er
October
1,
2008,
only
FHA‐approved
 otherwise
offset
by
other
allowable
FHA
funding
sources.


mortgagees
may
par1cipate
in
and
be
compensated
for
the
 Seniors
will
either
need
to
use
cash
on
hand
or
cash
from
the

origina1on
of
FHA‐insured
HECM
loans.

ML
2008‐24
explained
 sale
of
other
assets
for
this
down
payment.

As
is
the
case
with

that
the
origina1on
of
a
HECM
loan
must
be
performed
by
 HECM
refinance
transac1ons,
seniors
may
con1nue
to
finance

FHA
approved
en11es
including:
(1)
a
FHA‐approved
loan
 closing
costs,
or
elect
to
pay
them
out
of
pocket.

correspondent
and
sponsor;
(2)
a
FHA
approved
mortgagee

through
its
retail
channel;
or
(3)
a
FHA‐approved
mortgagee
 As
explained
in
ML
2008‐33,
seniors
obtaining
a
HECM
for

working
with
another
FHA‐approved
mortgagee.
 Purchase
may
not
obtain
a
bridge
loan
(or
so
called
“gap

financing”)
or
employ
other
interim
financing
techniques
to

Note
that
FHA’s
earlier
Mortgagee
Le:er
(ML
2008‐14,
which
 meet
the
down
payment
requirements
and/or
pay
for
closing

is
not
separately
discussed
in
this
ar1cle),
provided
guidance
 costs
in
connec1on
with
HECM
for
Purchase
transac1ons.

This

on
how
a
non‐FHA‐approved
en1ty
(i.e.,
a
“HECM
Advisor”)
 restric1on
includes
subordinate
liens,
personal
loans,
cash

could
par1cipate,
and
be
compensated,
in
connec1on
with
the
 withdrawals
from
credit
cards,
seller
financing
and
any
other

origina1on
of
HECM
loans.

In
ML
2008‐24,
the
FHA
rescinded
 lending
commitments
that
cannot
be
sa1sfied
at
closing.


ML
2008‐14,
effec1ve
October
1,
2008.

HECM
Advisor
 Lenders
are
required
to
verify
the
source
of
all
funds
prior
to

programs,
previously
common
within
the
industry,
are
no
longer
 closing.
permi:ed.
ML
2008‐33
also
points
out
that
purchase
money
mortgage

ML
2008‐28 transac1ons
generally
are
not
rescindable
under
the
federal

Truth‐in‐Lending
Act
(and
Regula1on
Z).

However,
lenders
are

Next,
on
September
29,
2008,
the
FHA
issued
ML
2008‐28,

strongly
encouraged
to
consult
with
their
counsel
to
assure

addressing
the
prohibi1on
on
lender‐paid
HECM
counseling.


compliance
with
applicable
Federal
or
State
laws.


The
HERA
amended
counseling
requirements
for
prospec1ve

HECM
loan
applicants
to
promote
the
independence
of
the
 ML
2008‐33
did
not
provide
specific
guidance
concerning

counseling
func1on
by
prohibi1ng
any
party
involved
in
the
 the
loan
documents
for
the
HECM
for
Purchase
program.


origina1on
of
a
HECM
from
directly
or
indirectly
paying
for
or
 However,
lenders
should
consider
reviewing
their
standard

providing
funding
to
the
counseling
agency.

Through
ML
2008‐ HECM
documents
prior
to
using
them
in
HECM
for
Purchase

28,
the
FHA
formally
implemented
this
prohibi1on.

 transac1ons.

For
instance,
the
loan
documents
should
reflect

that
seniors
must
occupy
the
property
within
60
days
from
the

Lenders
can
no
longer
pay
HUD‐approved
counseling
agencies,

date
of
closing,
and
also
must
comply
with
any
state‐specific

directly
or
indirectly,
for
counseling
services
through
either

requirements
for
purchase‐money
transac1ons.
a
lump‐sum
payment
or
on
a
case‐by‐case
basis.

ML
2008‐
28
reiterated
that
prospec1ve
HECM
borrowers
must
receive
 Similar
to
a
tradi1onal
HECM,
a
HECM
for
Purchase
must
be

adequate
counseling
from
an
independent
third
party
that
is
 secured
by
real
estate
held
in
fee
simple,
or
on
a
leasehold

not
either
directly
or
indirectly
associated
or
compensated
by
 under
a
lease
for
not
less
than
99
years
which
is
renewable,

a
party
involved
in
(1)
origina1ng
or
servicing
the
HECM,
(2)
 or
under
a
lease
having
a
remaining
period
of
not
less
than
50

funding
the
HECM
loan,
or
(3)
the
sale
of
annui1es,
investments,
 years
beyond
the
date
of
the
100th
birthday
of
the
youngest

long‐term
care
insurance,
or
any
other
type
of
financial
or
 mortgagor.


insurance
product.
Certain
property
types
are
ineligible
for
FHA
insurance

ML
2008‐28
also
provided
examples
of
prohibited
indirect
lender
 under
the
HECM
for
Purchase
program,
including
(i)
co‐
funding
of
counseling,
including
a
lender
funneling
payment
for
 ops;

(ii)
newly
constructed
proper1es
where
a
cer1ficate
of

HECM
counseling
through
a
nonprofit,
founda1on,
associa1on
 occupancy
or
its
equivalent
has
not
been
issued;
(iii)
exis1ng

or
any
other
en1ty
or
organiza1on
that
is
a
branch
of,
affiliated
 manufactured
homes
built
before
June
15,
1976;
and
(iv)

with
or
associated
with
the
lender. exis1ng
manufactured
homes
built
a`er
June
15,
1976
that
fail

to
conform
to
the
Manufactured
Home
Construc1on
Safety

ML
2008‐33
Standards.

On
October
20,
2008,
the
FHA
issued
ML
2008‐33,
implemen1ng

Lenders
are
required
to
ensure
that
any
construc1on
loan

amendments
to
the
Na1onal
Housing
Act
mandated
by
HERA

financing
for
the
property
is
sa1sfied
and
the
HECM
liens
will
be

»
and
authorizing
HECM
for
Purchase
transac1ons.

The
new

HECM
for
Purchase
program
will
be
available
for
HECMs
with


Dec 08 / Jan 09 37
 Work smarter, in
first
and
second
lien
posi1ons,
and
no
other
liens
against
the

property
will
exist
at
closing.

close more loans! Finally,
ML
2008‐33
added
a
cau1on
to
lenders
that
they
be


vigilant
to
protect
against
mortgage
fraud
and
property
flipping,


RM Client Manager including
the
coercion
of
seniors
to
use
a
reverse
mortgage
for


the
purchase
of
distressed
proper1es
at
prices
in
excess
of
fair

market
value.

ML
2008‐33
instructs
lenders
to
take
steps
to

ensure
that:
(i)
only
current
owners
of
record
sell
proper1es
that

Managing your will
be
financed;
(ii)
any
resale
of
a
property
may
not
occur
90

or
fewer
days
from
the
last
sale;
and
(iii)
for
resales
that
occur

most important between
91
and
180
days
where
the
new
sales
price
exceeds

asset... 100%
of
the
previous
sales
price,
FHA
will
require
addi1onal

documenta1on
valida1ng
the
property’s
value.
your clients.
ML
2008‐34

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ML
2008‐34
announced
new
limits
on
the
origina1on
fee

FHA‐approved
mortgagees
may
assess
on
HECMs.

Specifically,

for
HECMs
where
the
case
number
is
assigned
on
or
a`er

November
6,
2008,
the
maximum
origina1on
fee
is
set
at
the

greater
of
$2,500
or
an
amount
equal
to
2%
of
the
maximum

claim
amount
of
the
mortgage,
up
to
a
maximum
claim

amount
of
$200,000,
plus
1%
of
any
por1on
of
the
maximum

claim
amount
that
is
greater
than
$200,000,
with
a
maximum

origina1on
fee
“cap”
of
$6,000.
ML
2008‐35

As
a
companion
to
ML
2008‐34,
and
welcomed
with
open
arms

Only $1 by
the
industry,
ML
2008‐35
announced
a
single
na1onal
loan

Fortun 99 for Reve limit
for
all
FHA‐insured
HECM
loans.

The
loan
limit
under

es Mem rs
(Only $
99.95 f bers*!e the
HECM
program
is
relevant
in
determining
the
“maximum

or Prod claim
amount,”
which
is
the
lesser
of
the
appraised
value
of

Club M
For your ember ucer’s the
property
or
the
maximum
dollar
amount
assigned
by
HUD.


FREE Pro s)
duct Tou In
accordance
with
ML
2008‐35,
effec1ve
for
all
HECM
loans

1-866-59 r, call insured
by
the
FHA
on
or
a`er
November
6,
2008,
the
single

2-2096
na1onal
mortgage
dollar
limit
is
set
at
$417,000.
Requires a separate
purchase of ACT! The
Na1onal
Housing
Act
permits
mortgage
limits
for
all
areas

ONLY AVAILABLE AT of
Alaska,
Guam,
Hawaii
and
the
Virgin
Islands
to
exceed
the

FHA
mortgage
limits
by
up
to
150%.
The
new
HECM
na1onal

mortgage
limit
of
$417,000
effec1vely
raises
the
mortgage
limit

in
all
of
these
areas
except
(1)
Hilo,
Hawaii;
(2)
Honolulu,
Hawaii;

(3)
Kappa,
Hawaii;
and
(4)
Kahului‐Wailuku,
Hawaii.

For
these

excep1ons,
ML
2008‐35
provides
that
they
will
con1nue
to
have

the
“old”
FHA
mortgage
limits,
which,
are
higher
than
$417,000.

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Note
that
star1ng
January
1,
2009,
loan
limits
in
Alaska,
Hawaii,

Guam
and
the
Virgin
Islands
may
exceed
the
na1onal
mortgage

dollar
limit
of
$417,000
up
to
the
lesser
of
115
%
of
the
area

median
price,
or
$625,500.
(See
ML
2008‐36.)
ML
2008‐38

Finally,
ML
2008‐38,
issued
on
December
5th,
clarified
the

borrower’s
recourse
for
repayment
of
a
HECM
loan.

In
a


38 reversereview.com
nutshell,
ML
2008‐38
defined
that
non‐recourse,
in
applica1on
 If
the
number
and
complexity
of
the
mortgagee
le:ers
issued

to
a
HECM
loan,
means
simply
that
if
the
borrower
(or
 by
FHA
is
a
measure
of
change
within
our
industry,
there
is
no

estate)
does
not
pay
the
full
mortgage
balance
when
due,
the
 doubt
that
2008
has
been
an
historic
year.

HECM
originators

mortgagee’s
remedy
is
limited
to
foreclosure
and
the
borrower
 and
lenders
are
encouraged
to
work
with
their
internal

will
not
be
personally
liable
for
any
deficiency
resul1ng
from
the
 teams
and
appropriate
subject
ma:er
experts
to
ensure
that

foreclosure.

Non‐recourse
does
not
mean
that
the
borrower,
 these
changes
are
both
fully
understood
and
any
necessary

or
the
borrower’s
estate,
if
it
chooses
to
pay‐off
the
HECM
 modifica1ons
to
systems,
processes,
policies
and
procedures

obliga1on,
may
do
so
by
paying
the
lesser
of
the
fair
market
 implemented.

value
of
the
property
or
the
full
indebtedness. 

As
an
industry,
it
is
our
collec1ve
responsibility
to
ensure
that

If
the
borrower
or
the
borrower’s
heirs
or
estate
do
not
 the
seniors
we
serve
are
provided
a
posi1ve
experience
and

wish
to
keep
the
property,
they
may
sell
the
property
for
the
 afforded
all
of
the
benefits
and
consumer
protec1on
features

lesser
of
the
full
mortgage
balance
or
95%
of
the
property’s
 mandated
by
FHA
under
the
HECM
program.




appraised
value.

ML
2008‐38
explained
that
the
sale
of
the

property
should
be
an
arm’s
length
transac1on.

An
arm’s
length
 Because
of
the
generality
of
this
ar&cle,
the
informa&on

transac1on
is
characterized
in
ML
2008‐38
as
mee1ng
the
 provided
herein
may
not
be
applicable
in
all
situa&ons
and

following
requirements:
(1)
the
absence
of
a
rela1on
between
 should
not
be
acted
upon
without
specific
legal
advice
based
on

the
buyer
and
seller;
(2)
a
selling
price
and
other
condi1ons
that
 par&cular
situa&ons.
would
prevail
in
an
open
market
environment;
(3)
transac1on

By
Joel
Schiffman
and
Fed
Kamensky,
of
the
law
firm
of
Weiner

costs
paid
by
the
seller
that
are
considered
both
reasonable
and

Brodsky
Sidman
Kider
PC.
The
law
firm
serves
as
General

customary
for
the
market
in
which
the
property
is
located;
and

Counsel
of
the
Na&onal
Reverse
Mortgage
Lenders
Associa&on

(4)
the
adherence
to
ethical
standards
of
conduct
by
all
par1es

and
as
counsel
and
advisor
to
reverse
mortgage
lenders
and

involved
in
the
HECM
short
sale
transac1on,
including
the

other
industry
par&cipants
throughout
the
na&on.

The
law
firm

borrowers
(or
the
estate),
mortgagees
and
appraisers.
has
offices
in
Washington,
DC,
Newport
Beach
and
Houston.


Addi&onal
informa&on
may
be
found
at
www.wbsk.com
or
by

telephone
at
202.628.2000.

Messrs.
Schiffman
and
Kamensky

may
be
reached
at
schiffman@wbsk.com
and
kamensky@wbsk.
com.


Dec 08 / Jan 09 39
40
A A
Guide to
Following
Up

innovative marketing approaches....

reversereview.com
Valerie VanBooven

Impact is not created by big budgets; it is created by

Hi
and
happy
coming
new
year!
2009
will
be
spectacular
 In
other
words,
make
sure
that
every
family
you
touch
knows

for
those
who
take
the
1me
to
really
understand
what’s
 that
they
would
be
absolutely
crazy
to
do
business
with

required
for
a:rac1ng
and
maintaining
new
clients.
It’s
1me
 anyone
else
but
you!
I
won’t
go
into
an
in‐depth
analysis

to
shi`
gears
and
move
into
some
new
strategies
that
spice
 of
WHY
you
should
use
the
items
I
recommend
here,
that’s

up
your
marke1ng
plans
without
cos1ng
a
bundle. another
discussion
en1rely.
However,
each
piece
of
the

blueprint
is
recommended
and
designed
to
SET
YOU
APART

This
ar1cle
will
illustrate
step
by
step
the
blueprint
for
 from
the
COMPETITION.

responding
to
leads
that
come
to
you
via
email,
internet

leads
programs,
your
website,
or
any
online
method.
 Step
1:
As
soon
as
a
lead
arrives
in
your
email
box
or
on

Geyng
leads
to
come
to
you
via
the
internet
is
a
completely
 your
phone
line:
Call
immediately
as
an
introduc1on,
answer

different
conversa1on
than
how
you
RESPOND
to
leads
that
 ques1ons,
and
confirm
contact
informa1on.

come
your
way.
Exhibit A: Call Script 1
If
you
are
a
senior
service
provider,
this
blueprint
gives
you

the
tools
to
implement
in
your
own
business
that
will
make
 Hi
Mrs.
Jones
this
is
Valerie
from
ABC
Reverse
Mortgages.

a
big
difference
in
what
happens
to
the
people/caregivers/ We
just
received
a
note
on
our
computer
system
that
you

seniors
who
inquire
about
your
services. have
some
ques&ons
about
reverse
mortgages
for
your

father/mother.
For
the
purposes
of
simplicity,
I
am
going
to
use
ABC

Reverse
Mortgages
as
my
example.
It’s
not
rocket
science,
 What
kind
of
ques&ons
can
I
answer
for
you
right
now?
but
a
simple
follow‐up
plan
that
keeps
YOU
in
front
of
your

prospects
and
poten1al
future
clients
for
several
months.
 umm
I’m
not
sure…..

Follow‐up
is
our
biggest
downfall.
Wouldn’t
you
agree?
As
 We
have
a
free
DVD/
audio
CD
(or
we
no&ced
that
you

business
owners
we
all
know
that
there
are
those
prospects
 have
requested
our
free
DVD/audio
CD)
called:
Your
Most

who
fall
through
the
cracks,
only
to
be
contacted
by
our
 Cri&cal
Asset.
(Note:
I
made
this
name
up
on
the
fly,
use

compe11on
just
at
the
right
1me,
and
suddenly
out
of
reach
 your
own.)
for
us.
Would
it
be
alright
if
I
mailed
that
out
to
you
right
now,

It’s
1me
to
make
that
situa1on
a
thing
of
the
past
and
follow‐ along
with
our
brochure?
up
with
every
single
inquiry
for
as
long
as
it
takes.
How

long
is
that?
Un1l
they
ask
to
not
be
contacted.
Simple.
You
 
Yes
follow‐up
in
a
wonderfully
posi1ve
and
educa1onal
way
un1l

you’re
asked
to
stop
either
verbally,
by
email,
or
le:er,
etc. <Gather
mailing
informa&on
if
you
don’t
already
have
it.>

Did
you
know
that
when
a
couple
decides
to
“think”
about
 Ok
then,
I
will
be
calling
you
back
in
about
4
days
to
see
if

selling
or
buying
a
new
home,
it
o`en
takes
them
a
full
6‐8
 you
have
any
ques&ons
afer
viewing
the
DVD/
listening
to

months
to
REALLY
make
the
final
decision!? the
audio
CD.

In
some
cases
your
prospects
need
help
RIGHT
NOW,
and
 Are
mornings
or
afernoons
beger
for
a
phone
call?

other
1mes,
they
are
inves1ga1ng
their
op1ons‐
and
“geyng

ready”
“just
in
case”
an
aging
loved
one
might
need
help
 Mornings
at
some
point.
(Transla1on:
Their
aging
loved
one
probably

needed
help
6
months
ago,
but
6
more
months
will
pass
 Ok
Mrs.
Jones,
I’ll
talk
to
you
at
the
end
of
the
week,
and
before
there
is
an
event
that
catapults
the
family
into
true
 I’ll
be
sure
to
call
in
the
morning.
crisis‐
and
in
need
of
your,
or
your
compe1tors
services).

If
you
have
ques&ons
before
that
&me,
don’t
hesitate
to
Do
yourself
a
favor
and
from
now
on
make
sure
that
for
all
of
 call
me
right
away.
If
you
have
a
pen
and
paper
I’ll
give
those
clients
who
are
“just
looking”,
“educa1ng
themselves
 you
my
phone
number.
888‐888‐8888.
about
op1ons”,
etc‐
YOU
will
be
the
agency,
individual,
or

company
of
choice
when
the
1me
comes. Thanks
Mrs.
Jones,
and
I’ll
talk
to
you
soon.

Dec 08 / Jan 09
»
41
Step
2:
Email
immediately
a`er
phone
call‐
“THANK
 Step
3A:
USPS
Mail:
Hand
addressed
envelope.
Envelope

YOU”
and
a:ach
a
“FREE
REPORT”
(no1ce
I
did
not
call
it
 should
say:
“The
Informa1on
You
Requested
is
Enclosed”
You

a
brochure).
Your
FREE
REPORT
should
complement
the
 can
get
a
cheap
rubber
stamp,
or
print
50
labels
at
a
1me

contents
of
your
DVD
or
AUDIO
CD.
Yes,
I
men1oned
DVD
or
 and
use
them
as
needed
for
your
envelope.
Keep
it
simple.
Audio
CD…you
need
one
of
these.

Step
3B:
Inside
the
envelope‐
thank
you
le:er
similar
to
the

Exhibit B: Email 1- modify depending on email
you
originally
sent,
and
the
free
report
you
originally

your discussion on the phone. emailed.
Also,
send
a
DVD
or
AUDIO
CD
that
summarizes

your
services
in
8‐10
minutes.

Dear Mrs. Jones,

My name is Valerie VanBooven RN BSN, from ABC
Reverse Mortgages.
We just received a note on our computer system
that you have some questions about a reverse
mortgage for your father/mother.
(Or- It was a pleasure speaking with you today
regarding the care needs for your mother/father)
We will be sending you our new DVD/Audio CD:
Your Most Critical Asset.
We believe that the information contained in this
DVD/ Audio CD will give you information and tips
on choosing a good lender, and will help you make
informed decisions moving forward.
I will call you to follow up in a few days and see
if you have any questions. In the meantime, look for
your package in the mail from us.
If you would like to view/listen to the
materials online right now, you can visit www.
ReverseMortgageNation.com/valerievanbooven
Exhibit C: US Mail Letter 1- modify
depending on your discussion on the phone.
Dear Mrs. Jones,
My name is Valerie VanBooven RN BSN, from ABC
Reverse Mortgages.
Thank you for ordering your DVD/Audio CD: : Your
Most Critical Asset.
(Or- It was a pleasure speaking with you today
regarding the care needs for your mother/father)
We believe that the information contained in this
DVD/ Audio CD will give you information and tips on
choosing a good home care provider, and will help
you make informed decisions moving forward.
I will call you to follow up in a few days and see
if you have any questions. In the meantime, please
be sure to view this DVD. (listen to this audio CD)
If you have questions, don’t hesitate to call me
right away.

If you have questions before that time, don’t 888-888-8888

hesitate to call me right away.
Warmest Regards,
888-888-8888 Valerie VanBooven RN BSN

Warmest Regards,
P.S. Attached is a REPORT that our clients
Valerie VanBooven RN BSN
have found extremely helpful in understanding
P.S. Attached is a REPORT that our clients have how obtain a reverse mortgage.
found extremely helpful in understanding how obtain
a reverse mortgage.

“
42
Do yourself a favor and from now on make sure that for all of those clien
themselves about options’, etc- YOU will be the agency, individual, or com

reversereview.com
 •
 If
you
don’t
have
a
DVD
or
audio
CD
that
you
can
hand

out
to
prospects
and
referral
sources
(or
preferably

both),
you
need
to
get
one
made
YESTERDAY.
The
DVD

should
have
a
compelling
and
gut
punching
1tle
that

makes
the
“receiver”
feel
obligated
to
watch
it.


Step
4:
Wait
4
days
for
mail
to
arrive.

Step
5:
Follow
up
phone
call.
Did
they
receive
the


5)&
*/%6453:
45"/%"3%
4*/$&

informa1on
you
sent?
Do
they
have
any
ques1ons?
Did
they

watch
your
DVD
or
listen
to
your
CD?

Exhibit D: Script 2- modify depending on ѮF
*OEVTUSZ
4UBOEBSE
JT
OPU
KVTU
B
TMPHBO

your discussion on the phone and any other 4JY
PG
UIF
UPQ

SFWFSTF
NPSUHBHF
PSJHJOBUPST


communication. VTF
*CJT
4PѫXBSF
GPS
UIFJS
XFCTJUFT
SFUBJM


BOE
XIPMFTBMF
CVTJOFTTFT
Hi
Mrs.
Jones
this
is
Valerie
from
ABC.
I’m
following
up
on
 ѮPTF
MFOEFST
BSF
VTJOH
the
DVD/Audio
CD
that
we
mailed
to
you
this
week.
Have

you
had
a
chance
to
review
the
informa&on? *ěĢĬ
3.0


-PBO
PSJHJOBUJPO
NPEVMFT
JODMVEF
$3.


What
kind
of
ques&ons
can
I
answer
for
you
right
now?

 2VJDL
2VPUF
1SPQPTBM
"QQMJDBUJPO


6OEFSXSJUJOH
%PDVNFOUT
$MPTJOH
1JQFMJOF


umm
I’m
not
sure….. 3FQPSUT
BOE
$PTU
5FNQMBUFT
1MVT
#SPLFS


BOE
$PSSFTQPOEFOU
.BOBHFNFOU
'VMM
TUBUF


Would
you
like
to
set
up
an
appointment
to
meet
with
me
 TQFDJêD
BQQMJDBUJPO
BOE
DMPTJOH
QBDLBHFT
DBO


and
discuss
your
current
situa&on
(regarding
your
father)‐
 CF
TUPSFE
QSJOUFE
BOE
FNBJMFE
the
reason
I
ask
is
because
even
if
our
services
aren’t

exactly
what
you
are
looking
for
right
now,
we
may
be
able
 *ěĢĬ
2ĮĢĜĤ
2ĮĨĭĞ


to
point
you
in
the
right
direc&on
for
other
services
in
our
 #JMJOHVBM
DPOTVNFS
DBMDVMBUPST


area.
There
is
no
charge
for
the
appointment. BMSFBEZ
JO
VTF
BU
r
XXXSNBBSQDPN
r
Yes r
XXXXFMMTSNDPN
r
BOE
NBOZ
PUIFS
XFCTJUFT
Are
mornings
or
afernoons
beger
for
you?
Would
you

prefer
Tuesday
or
Thursday? *CJT
BMTP
QSPWJEFT

Ok,
I
will
see
you
on
Thursday
at
10am
at
your
home. *ěĢĬ
3."


"
DPNQMFUF
DPVOTFMJOH
QBDLBHF
GPS


If
you
have
ques&ons
before
that
&me,
don’t
hesitate
to )6%"QQSPWFE
SFWFSTF
DPVOTFMPST
call
me
right
away.
If
you
have
a
pen
and
paper
I’ll
give
you

my
phone
number.
888‐888‐8888.
'PS
NPSF
JOGPSNBUJPO
WJTJU


XXX3FWFSTF.PSUHBHF)PNF1BHFDPN
Thanks
Mrs.
Jones,
and
I’ll
see
you
soon.
0S
DBMM




»
nts who are ‘just looking’, ‘educating
mpany of choice when the time comes.

” Dec 08 / Jan 09 43
Step
6:
Assuming
they
are
not
ready
to
start
services
at
this
 Your TO DO LIST in 2009:
point,
they
now
go
on
to
the
email
and
U.S.
Mail
follow‐up

plan.
And
this
lasts
forever. o Create your own follow-up plan using this
blueprint.
Step
7:
Enroll
them
for
your
monthly
or
bi‐monthly
email

newsle:er.
Yes,
you
need
a
simple
email
newsle:er
that
is
 o Have a DVD or Audio CD made that highlights
light,
fun,
and
cool
to
read.
(Not
boring
with
sta1s1cs
about
 your business. I can help of course! Email
caregivers
and
monotony
about
Alzheimer’s
research.
A
li:le
 us at Valerie@theltcexpert.com
is
OK,
a
lot
is
a
recipe
for
file
13.)

o Sign up for senior fairs and exhibiting
Step
8:
Put
them
on
your
mailing
list.
You
should
be
sending
 opportunities in 2009 and start accumulating
out
various
items
over
the
course
of
the
year
including: LEADS to put on your MAILING LIST.
•
 Monthly
black
and
white
simple
newsle:er
(tri‐fold)
 o Make sure you have more than one irresistible
nothing
fancy,
nothing
expensive.
 FREE OFFER in your bag of tricks. A DVD , an
•
 Birthday
cards
if
you
have
birthdates.
There
are
services
 Audio CD, a Vial of Life, a Free Prescription
that
will
do
this
for
you. Drug Discount Card, and anything else that
•
 Invita1ons
to
local
events,
senior
fairs,
seminars,
 makes sense.
educa1onal
events,
charity
events
(ALZ
Walks,
MS
Walks

etc)‐
especially
if
you
are
a
sponsor
or
have
a
booth. o Get an E-newsletter started for those
•
 Make
sure
when
you
send
invita1ons
to
events
that
 who are Internet savvy, and ALSO a print
you
are
specific
about
invi1ng
them
to
YOUR
BOOTH,
 newsletter for EVERYONE on your list.
and
your
FREE
OFFER
wai1ng
for
them
at
YOUR
BOOTH.

Make
sure
they
come
by
and
introduce
themselves.
A
 o Contact me for marketing assistance in 2009.
crowded
booth
is
a
happy
booth.
•
 Once
a
year
send
out
a
FREE
VIAL
OF
LIFE
to
the

prospects
on
your
list
during
November
“Na1onal
Family

Caregiver’s
Month”.

HUD Foundation Specialists
•
 What
else
can
you
send
out
that:
a.
 has
meaning
and
impact,

b.
 may
be
regional
to
you
and
your
business,

c.
 is
cheap
and
easy
to
mail.
Manufactured Housing
•
 Mail
out
invita1ons
to
your
prospect
list
with
“FLU

FACTS”
in
October
of
each
year.
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44 reversereview.com
 directory

1st
Reverse
Financial
Services,
LLC Premier
Reverse
Closings
Interna&onal
Document
Services
A
Subsidiary
of
Wilmington
Savings
 800.542.4113
800.554.1872
Fund
Society,
FSB prclosings.com
idsdoc.com
877.574.1000
1streverse.com

LoanWell
America
Inc.
Reverse
Fortunes.com
877.700.0555
866.592.2096
America’s
Recommended
Mailers,
Inc. loanwellrm.com
reversefortunes.com
800.992.2722
armleads.com

Reverse
Market
Insight,
Inc.
Monte
Rose
949.429.0452
800.516.0545
rminsight.net
monterose.biz

AppraiserLof
877.229.7799
Reverse
Mortgage
Associa&on
for

appraiserlo`.com
Loan
Officers
877.262.7656
remalo.org

Na&onal
Housing
Counseling
Associa&on
510.287.6085
learnreverse.org Reverse
Mortgage
Daily
Celink reversemortgagedaily.com
517.321.9002
www.celink.com

Next
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Financial
Services
Reverse
Vision
888.973.8377
919.834.0070
www.ngfs.net
reversevision.com

Atare
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Agbamu,
CRMS
Direct
Group 612.203.9434
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dgmortgagemarke1ng.com 800.628.5093
omnireverse.com

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Sidman
Kider
PC

800.566.5070 800.909.1110 202.628.2000
reversemortgagehomepage.com onthelevelcontractors.com wbsk.com

Dec 08 / Jan 09 45
 RR
the last word
Bre:
Varner
‐
Lessons
Learned
from
2008

Magazine
WHY IT’S A

GREAT
TIME TO START A

CAMPAIGN IN 2009
www.reversereview.com
46 reversereview.com
 REVERSEVISION

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