Longbridge Financial Reverse Mortgage Review

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Our take on Longbridge Financial’s Reverse Mortgage

• Closes on loans within 45 days
• Has three types of reverse mortgages (including jumbo loans and programs for those age 55+)
• Military discounts available

About Longbridge Financial

Longbridge Financial was founded in 2012 by previous MetLife, New York Life and Fidelity employees. It’s based in New Jersey with a mission to responsibly help seniors reshape their financial future through reverse mortgages.

Notably, Longbridge services all of its loans because it is a Government National Mortgage Association (GNMA)-approved lender. This means that if you get a reverse mortgage through Longbridge, it will be the sole company you report to through the life of your loan. 

Longbridge Financial is ideal for retirees looking to use their home equity as supplemental retirement income. The company has separate programs for those 62 and older and 55 and older. 

Longbridge Financial reverse mortgage at a glance

This table gives a brief overview of Longbridge reverse mortgages, which we’ll cover in more detail below. 

Term	Details
Eligible properties	Single-family; multi-family; FHA-approved manufactured homes; condominiums
Eligible states	Nationwide
Loan amounts	Up to $4 million
Fees	Reverse mortgage counseling, origination, appraisal, mortgage insurance premium, closing costs
Unique features	No lender servicing fees; Platinum program allows for reverse mortgages at age 55 instead of age 62

How does Longbridge Financial’s reverse mortgage work?

A Longbridge Financial reverse mortgage allows you to tap into your home’s equity without making monthly mortgage payments. 

The amount you can borrow largely depends on your home’s appraised value and the equity you’ve built. The more your home is worth and the more equity you have, the larger the potential reverse mortgage loan amount.

Types of reverse mortgages at Longbridge

Longbridge offers three types of reverse mortgages:

• Home equity conversion mortgages (HECMs). These standard reverse mortgages come with either a fixed or variable interest rate. They’re mandated by the Federal Housing Administration (FHA). 
• HECM for purchase. This option is for seniors looking to purchase a new home that better fits their needs. It combines the features of a standard HECM with the ability to buy a new home, all in one transaction.
• Longbridge Platinum mortgages. This is a non-FHA reverse mortgage available to anyone age 55 and up. It has higher loan limits and lower upfront costs than a standard HECM. It’s ideal if you have a high-value home and need a jumbo reverse mortgage.

For all loan types, you’re required to undergo independent loan counseling to make sure you fully understand how reverse mortgages work. You’ll see either an FHA-approved lender for standard and for-purchase HECMs or a Platinum-approved lender for Platinum loans.

Eligible properties

Longbridge’s reverse mortgage is available for single-family homes, multi-family homes (up to four units), manufactured homes that meet FHA requirements, and condominiums. Also, your mortgage must be for a primary residence that meets HUD standards. 

Eligible states

Standard HECMs are available nationwide, so you can apply with Longbridge no matter where you live in the US. 

The Platinum program is available only in select states. At publishing, you can get a fixed-rate Platinum reverse mortgage in these states: 

• Alabama
• Arizona
• California
• Colorado
• Connecticut
• Florida
• Georgia
• Idaho
• Illinois
• Louisiana
• New Mexico
• Michigan
• Missouri
• Nevada
• New Jersey
• Ohio
• Oklahoma
• Oregon
• Pennsylvania
• South Carolina
• Texas
• Utah
• Virginia
• Washington

You can get a Platinum reverse mortgage line of credit in these areas: 

• Arizona
• California
• Colorado
• Connecticut
• Florida
• Idaho
• Illinois
• Michigan
• Nevada
• New Jersey
• North Carolina (PAA only)
• Ohio
• Oregon
• South Carolina
• Texas
• Utah
• Virginia
• Washington, D.C.

*Longbridge is constantly adding new states to its Platinum service area. View the licensing map on its site for a list of current states.   

Loan amounts

Longbridge offers loans up to $4 million through its Platinum program. It doesn’t disclose maximums for standard HECMs and HECMs for purchase. 

Costs and fees

Depending on which program you qualify for, Longbridge reverse mortgage fees may include: 

• An origination fee
• Mortgage insurance premium
• Third-party closing costs
• Mandated counseling costs

These costs can often be financed into the loan to reduce your out-of-pocket expenses. Notably, Longbridge doesn’t charge lender servicing fees.

Who’s eligible for a Longbridge Financial reverse mortgage?

You may be eligible for a Longbridge Financial reverse mortgage if you’re 62 for standard programs or at least 55 with the Platinum program. These age limits apply to everyone listed on your home’s deed. 

LongBridge’s website states that it doesn’t have a maximum debt-to-income ratio or minimum credit score. But the lender will still perform a financial assessment to ensure you can cover your property taxes, home maintenance, and insurance costs. 

Requirement	Details
Properties	Principal residence; property must meet minimum property standards set by HUD
Age of applicant	62+ (or 55+ with Longbridge Platinum)
State of residence	Nationwide (select states for Platinum)
Maximum debt-to-income	None
Minimum credit score	None

How do you repay a reverse mortgage from Longbridge Financial?

With a Longbridge Financial reverse mortgage, you’re not required to make monthly payments until you permanently leave your home. Until then, you’re responsible only for property taxes, home insurance, and home maintenance.

Once you pass away or move, you (or your heirs) can sell your house and use the proceeds to pay off your reverse mortgage balance. Any money left over is yours to keep. 

Reverse mortgages are “non-recourse” loans, so you’ll never owe more than the house is worth when you sell it. But if you (or your heirs) want to keep the home once you leave, you’ll need to repay the loan entirely—even if it exceeds the home’s value.  

Pros and cons of Longbridge Financial’s reverse mortgages

Pros

• Reverse mortgage specialists

  Longbridge exclusively offers HECMs, HECMs for purchase, and jumbo reverse mortgages, so its knowledge of these products runs deep. 

• Good customer experience

  The company is touted online for its excellent customer service. It has above-average reviews on sites like Trustpilot and the BBB. 

• Several payment methods

  With Longbridge, you can get your reverse mortgage proceeds as a one-time payment, monthly payment, a line of credit, or as an emergency fund for future needs. 

• Discounts for military members

  If you’re a U.S. military member, veteran, or spouse, you can get up to $500 off closing costs. 

• Some programs for ages 55+

  Instead of waiting until age 62, you may qualify for a mortgage through Longbridge’s Platinum program as early as 55. 

Cons

• Platinum program available in select states

  Although Longbridge offers loans in all 50 states, its Platinum program is only available in select areas. 

• No physical locations

  If applying for and managing your loan online makes you uncomfortable, you may find Longbridge’s lack of branch offices unideal.

• Fees

  Longbridge may have high upfront costs and fees as with any reverse mortgage lender. It’s your responsibility to compare these costs before closing.

Longbridge Financial stands out for its specialized focus and reputation for good customer service. But its lack of branches could alienate less tech-savvy customers. Explore how Longbridge compares to the best reverse mortgage lenders to see if there’s a better fit.

Is Longbridge Financial a reputable lender?

Source	Rating	Number of reviews
Trustpilot	4.9/5	885
Google	4.3/5	157
Better Business Bureau	3.97/5	60

Longbridge Financial is an accredited business with an A+ rating from the Better Business Bureau (BBB). It’s received just 16 complaints in the past three years, a low number for a national mortgage lender. 

We found Longbridge’s customer reviews to be overwhelmingly positive. Nearly every reviewer mentioned their loan officer by name and talked about how helpful and knowledgeable they were during the loan process. 

Of the few negative reviews, some people quoted high closing costs as a drawback, typical of reverse mortgages. 

How to apply for a Longbridge Financial reverse mortgage

Compared to other mortgage companies, Longbridge emphasizes education, counseling, and personalized service to ensure you understand every step of the application process. Here’s how to apply:

1. Get an online quote. This allows you to see what size loan you may qualify for before applying. 
2. Meet with a Longbridge Financial loan officer. Once you get a quote, a loan officer will email or call you to answer your questions and confirm if you want to proceed. 
3. Get your counseling certificate. You’ll meet with an independent HUD-approved counselor for about an hour to discuss the responsibilities of a reverse mortgage. 
4. Submit your application. Now it’s time to apply and submit any required documentation—such as your ID, proof of income, Social Security number, and proof of home insurance.
5. Get an appraisal. After your application, Longbridge will order a local, FHA-approved appraiser to come out and evaluate your property. 
6. Go through underwriting. An underwriter will review your application to determine if your loan is approved, approved with conditions, or denied. If you’re denied, Longbridge will provide a reason and allow you to address the issues and reapply.
7. Close. Once approved, a closing agent or attorney will meet with you to sign the final documents.
8. Wait for funding. After signing, you’ll have a three-day waiting period before Longbridge disperses funds using the payment method you’ve chosen.

Longbridge Financial closes most loans within 45 days. Anyone listed as a co-borrower on your deed must meet the minimum age requirements and go through the counseling and application process. 

How do other home equity products compare to Longbridge Financial’s reverse mortgage?

Longbridge Financial offers reverse mortgages, unlike home equity companies that offer HELOCs, home equity loans and cash-out refinances. These products don’t have age restrictions and are generally available to anyone with enough equity.

• A reverse mortgage lets you convert part of your equity into cash without making monthly mortgage payments. You qualify if you’re at least age 62, and you don’t repay the loan until you move out or pass away.
• A HELOC is a revolving line of credit with variable interest rates and monthly payments; it’s much like a credit card that’s secured by your home. 
• A home equity loan gets you a lump sum of cash that you repay in fixed monthly payments until it’s paid off. 
• A cash-out refinance lets you replace your current mortgage with a new, larger one. You keep the difference and pay off the loan in new monthly payments.

Longbridge Financial reverse mortgage FAQ

How long does it take to receive funds from Longbridge Financial?

After applying for a reverse mortgage with Longbridge Financial, you can count on a span of about 30 to 45 days to get the funds. 

However, the timeline might vary depending on individual circumstances. Factors such as the borrower’s response time, property condition, and appraisal issues can affect the timeline. 

Does Longbridge Financial have insurance requirements?

Yes, Longbridge Financial requires all its borrowers to have a homeowners insurance policy. This safeguards the property—an essential asset in a reverse mortgage. You must maintain sufficient insurance coverage for the entire term of the loan and pay the property taxes regularly.

Can you back out of a reverse mortgage contract?

Yes. The law allows for a rescission period in a reverse mortgage contract, a three-day window in which you can change your mind and cancel the agreement without penalties. This cooling-off period starts after the agreement closes. The withdrawal must be in writing.

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