housing options. “Shea, Pulte, Lennar, all of the builders have these amazing developments that offer a better quality of life,” McCabe says. The new flexibility in the HECM for Purchase means those builders can now offer up to six percent of the sales price in closing-cost credits to buyers using the product, she adds. “This new flexibility is going to make people understand that the purchase option is here to stay. Loan officers and new-home consultants should make the HECM for Purchase a product offering as a mainstream purchase option.” Declining interest rates are another factor that could play into the growth of the HECM for Purchase, executives say. Higher rates deterred people from moving and created a shortage of housing supply, depressing home sales. But with rates expected to drop over 2024, lenders are optimistic that activity will pick up. “We’re coming out of one of the toughest times in the reverse industry,” McCabe says. Nonetheless, she is confident in the approach being taken at CrossCountry. “A year from now, we want to be able to say we are one of the top purchase lenders.” Executives also see continued room for regulatory improvement. Calamia notes that rules still require sellers to complete all home repairs in a transaction involving a HECM for Purchase. “We got a win with everything else, except that,” she says. “I’ll take it, but I don’t want to leave that one alone. Keep fighting for that.” Joel Berg is a writer and editor based in York, PA. “This isn’t your first-time homebuyer with three percent down, a gift of equity or doing a first-time FHA loan. This is a borrower who understands the process.” —Kelly J. McCabe, vice president and director of credit at CrossCountry Mortgage LLC DISRUPTING BUSINESS-AS-USUAL SERVICES Preservation Inspection Title and Diligence Property Maintenance Property Management & Tenant Services Appraisal and BPO REO Asset Management Vacant Property Registration & Utility Processing guardianassetmgt.com REVERSE MORTGAGE /MAY-JUNE 2024 21
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