About Nationwide Equities
Born and raised in New York City, it was inevitable that both Paul Lamparillo, CEO, and Glenn Wallace, President, would call upon their experience and commitment to providing financial solutions, not only for the NYC housing market but for consumers across the United States. Now with more than two decades in the business, Nationwide Equities, which is headquartered in the New York City metro area, has been recognized as an authority in the reverse mortgage space and is the trusted local lender for providing fast response times, addressing questions, educating the consumer, and finding the right solutions.
What is a reverse mortgage?
A reverse mortgage is a financial tool that is designed specifically for seniors. It works by essentially reversing the way the mortgage is paid and allows borrowers to access the equity in their home that has built up over time. An advantage is the loan balance doesn’t become due until the individual no longer resides at the property and/or the home is sold. Therefore, borrowers are not required to make a monthly mortgage payment (optional). Borrowers are still responsible to pay their property tax, insurance, and associated maintenance costs to remain compliant with the loan terms, but this provides a great deal of relief and assistance for those that are living on a fixed income, or just wish to supplement their retirement savings.
How can a coop reverse mortgage benefit a cooperative?
Running a cooperative greatly depends on the shareholder’s ability to contribute. When senior residents convert their equity and reduce their monthly expenses, they will be able to keep up with required shared costs, including the ability to pay the ongoing upkeep and improvements that will increase the value of the building.
A significant advantage for NYC Cooperatives will be the utilization of Nationwide Equities’ proprietary product, EquityPower. The unique features of this product allow for higher lending limits and greater flexibility when determining program eligibility. For example, Nationwide Equities will be able to conduct an approval of the building instead of each individual unit – making it a seamless process for both the board of directors and the shareholders.
How can a coop reverse mortgage help a shareholder?
Inflation and increased expenses are a reality that will have a significant impact in 2022, especially for seniors that are dependent on their retirement savings. Using a reverse co-op loan helps lessen financial strain and provides added security. In addition to eliminating the need to pay a monthly mortgage payment, some borrowers will be eligible to cash out a portion of their equity, turning it into tax-free funds to supplement income, making them more likely to be able to afford their necessities. As a safeguard for the borrowers, there are steps taken to determine the eligibility and the need for a reverse mortgage to ensure that there is a benefit to the applicant. Individuals also receive counseling and education to make sure they fully understand how a reverse mortgage works.