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The Growth Market Deck; Any number of factors point to reverse mortgages as being the growth area for the industry in the next few years.

Article Excerpt
Byline: Amilda Dymi

The common perception is that mortgage providers are way too busy surviving the current market conditions to experience growth. Unless, some say, originators focus on the reverse mortgage market space.

Melville, N.Y.-based Senior Lending Network, the wholesale division of World Alliance Finance, one of the country's largest retail and wholesale reverse mortgage companies, is bullish about its market niche.

Chief executive David Peskin said in 2007 his firm has seen over 300% year-over-year growth.

"At a time where the financial sector is struggling and many mortgage companies have shut their doors, Senior Lending Network continues to grow and thrive," said Mr. Peskin, during a celebratory event upon the completion of new state-of-the-art headquarters.

He atributes the SLM success to its keen focus on reverse mortgages.

"We are reverse mortgage specialists, that's it. We believe that's going to be a very big landscape of the mortgage industry over the next few years, so it's important to us to maintain our focus," he said. "The good news is that the industry is growing at a fast pace so despite the number of competitors getting into this business you'll never have less business. As more and more players get in, the market is just going to grow."

There are over 40,000 mortgage companies in the marketplace and according to Mr. Peskin anywhere from 1,100 to 1,200 consistently do reverse mortgages. He sees the future of the reverse mortgage market quite optimistic and reassuring, and he is not alone.

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