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Generation Mortgage Moves Beyond the Traditional Reverse Mortgage To Support the Needs of Senior Homebuyers

ATLANTA, Jan. 15 /PRNewswire/ -- The U.S. Department of Housing and Urban Development (HUD) recently announced the addition of the Home Equity Conversion Mortgage (HECM) for purchase. As part of the Housing and Economic Recovery Act of 2008, Generation Mortgage Company(TM) and other approved lenders now may offer senior homebuyers a reverse mortgage to aid in the purchase of a new property.

"We have seen a positive response to this new product from many seniors interested in using their existing home equity or other savings to enable a move to a new home. Many seniors find the underwriting criteria and payment demands of the traditional mortgage market to be onerous," said Jeff Lewis, Chairman of Generation Mortgage Company. "Reverse mortgages have been extremely popular as they have helped many families keep their homes and use their home equity to reduce their cost of living. The FHA-insured HECM for Home Purchase is an entirely new product that allows more seniors to reap the benefits of reverse mortgages. Now, seniors who would like to purchase a new home and wouldn't normally qualify for a mortgage because of credit issues or fixed income can."

Traditional reverse mortgages are typically used by homeowners, aged 62 or older with significant home equity, to convert their home equity into cash while maintaining ownership of their homes. With the HECM for Purchase, the reverse mortgage proceeds combined with a large cash down payment, enable senior homeowners to purchase a new principal residence and not have to make monthly mortgage payments for as long as one homeowner remains in the home.

Joe Morris, Chief Executive Officer, Generation Mortgage stated, "We've seen an increase in the volume of requests for information about HECM for Purchase. In this economic climate, reverse mortgages have already been popular, but since January first -- a new type of customer has entered the marketplace."

For more information on HECM for Home Purchase and other reverse mortgage products, contact Generation Mortgage for a free DVD at 866-733-6089 or visit www.generationmortgage.com.

About Generation Mortgage

Generation Mortgage is one of the nation's leaders in reverse mortgage lending, and a member of NRMLA (National Reverse Mortgage Lenders Association). With its sole focus on reverse mortgages, Generation Mortgage Company(TM) offers seniors "A New Generation in Reverse Mortgages(TM)" and pledges to deliver outstanding customer service, as exemplified by its loan servicing -- Generation services all its reverse mortgage loans and does not outsource them. Generation benefits from the financial and logistical support of its controlling shareholder, Guggenheim Partners, LLC, a renowned financial services firm with more than $100 billion in assets under supervision.

Equal Housing Lender. AZ Mortgage Banker License #0909296; GA Residential Mortgage Licensee #22292; 3 Piedmont Ctr, 3565 Piedmont Road NE, Ste 300,Atlanta, GA 30305; Licensed by the Dept. of Corps. under the CA Residential Mortgage Lending Act; In CT, licensed as Generation Reverse Mortgage, Inc., Generation Mortgage Company d/b/a.; Illinois Residential Mortgage Licensee # MB.6760368; Kansas Licensed Mortgage Company License #MC.0001660; MA Mortgage Lender-ML3240; ME License #SLM9169; Licensed by the Mississippi Department of Banking & Consumer Finance; Licensed by the NH Banking Dept as Generation Mortgage Company d/b/a Generation Mortgage Company, Inc; Licensed at 51 JFK Parkway, Suite 114, First Floor West,Short Hills, NJ 07078, Phone # 973-218-2418 by the NJ Dept. of Banking and Insurance; NV-800 N. Rainbow Blvd., Ste 170, Rm 164,Las Vegas, NV 89107, Phone # 702-326-0727; Licensed by the PA Dept. of Banking; Rhode Island Licensed Lender; TX SML License #68405, OCCC License #51201, 1101 Melbourne Rd,Hurst, TX 76053; Licensed by the VA State Corp. Commission #ML-731; Also conducts business in AL, AR, CO, DC, DE, FL, HI, IA, IN, LA, MD, MI, MN, MO, MT, NC, ND, NE, NM, OH, OK, OR, SC, SD, TN, UT, VT, WI, WV, WY. Not all products and options are available in all states. (C)2009 Generation Mortgage Company. All Rights Reserved.

This release is available on the KCSA Strategic Communications Web site at www.kcsa.com.

    CONTACTS: Rob Manfredo | Charlotte Maumus
              KCSA Strategic Communications
              (212) 896-1213 | (212) 896-1269
              rmanfredo@kcsa.com | cmaumus@kcsa.com

SOURCE Generation Mortgage Company