MetLife Bank Unveils New Reverse Mortgage Pricing Option that Allows Seniors Ability to Unlock More Equity at a Lower Cost

BRIDGEWATER, N.J., March 25 /PRNewswire/ -- MetLife Bank, N.A., one of the leading providers of reverse mortgages to older Americans, today announced a new pricing option for homeowners, which will make thousands more dollars available to many borrowers at a lower cost, allowing them to fund a more comfortable retirement.  

This new pricing option, which applies to one of the most popular reverse mortgage products, will eliminate the origination fee and servicing fee, which means homeowners could receive additional loan proceeds ranging from $3,500 to $10,000, or more in some cases.

Also known as a HECM -- Home Equity Conversion Mortgage -- a reverse mortgage is a FHA-insured product that allows senior homeowners ages 62 or older to borrow against accumulated home equity without having to make regular monthly payments of principal and interest. MetLife Bank will continue to make other options available to applicants, including variable rates and lines of credit, but for those who choose a fixed-rate lump-sum HECM, there will be no origination fee or monthly servicing fee under this option.

"This pricing option will allow seniors who desire to take their loan proceeds in an up-front lump sum to unlock even more of their equity to fund their retirement," said Craig Corn, vice president at MetLife Bank in charge of the bank's reverse mortgage business. "These additional proceeds can go further to help them to pay off existing debts, meet basic needs, cover unexpected expenses, adapt their home to their current needs, or whatever else they feel is appropriate."  

"Savings will vary by the individual case," added Corn, "but senior borrowers can end up with a lot more money in their pockets."

Other closing costs will still apply, including a FHA mortgage insurance premium, and costs from third parties including title search and insurance, appraisal, inspections, recording fees, mortgage taxes, and credit checks.

MetLife Bank, N.A. (Member FDIC) is a federally chartered bank offering a wide array of banking products and services, including high-yield savings, certificates of deposit, money market accounts, individual retirement accounts and residential mortgages. For more information, please visit www.metlifebank.com, or call its Reverse Mortgage Department at 1-800-607-0366. MetLife Bank is a subsidiary of MetLife Inc. (NYSE: MET), a leading provider of insurance and financial services with operations throughout the U.S. and the Latin America, Europe and Asia Pacific regions. For more information, please visit www.metlife.com.  

MetLife is the trade name of Metropolitan Life Insurance Company

All loans subject to approval. Mortgage financing provided by MetLife Bank, N.A.  Equal Housing Lender.

SOURCE MetLife Bank