MetLife Bank is eliminating origination and servicing fees on one of its government reverse mortgage programs.
The Bridgewater, N.J.-based bank said today it will offer a new pricing option that removes the origination fee and servicing fee. As a result, reverse mortgage borrowers could see available loan proceeds increase between $3,000 and $5,000.
The option is available for fixed-rate, lump-sum, home-equity conversion mortgages.
Other closing costs that will still apply include FHA mortgage insurance premiums and third-party costs such as title insurance such as appraisal fees.
Other reverse mortgage options, like adjustable rate programs and lines-of-credit, will remain available.
MetLife, which calls itself “one of the leading providers of reverse mortgages to older Americans,” ranked as the fourth biggest reverse mortgage lender in 2009.
