Bank Of America Expanding Reverse Mortgage Business by Purchasing Seattle Mortgage
Bank of America is purchasing Seattle Mortgage Co. from Seattle Financial Group for an undisclosed amount. Seattle Mortgage had been doing business as Reverse Mortgage of America since 1995 having written over 40,000 reverse mortgages and over 4 billion in outstanding balances.
Is this another example of the big boys moving in during a slowdown, or is it a market that Bank of America thinks is ripe as the baby boomers gray?
Bank of America Corp. has agreed to buy the reverse-mortgage business of Seattle Mortgage Co., a subsidiary of Seattle Financial Group Inc. Seattle Mortgage markets its reverse mortgages under the name Reverse Mortgage of America.
Charlotte-based BofA (NYSE:BAC) has been piloting reverse-mortgage products with customers in Arizona since November. “Seattle Mortgage has been a pioneer in developing mortgage products and services that address the senior population’s growing need for greater financial liquidity,” says Floyd Robinson, president of BofA consumer real estate. “This is in line with Bank of America’s desire to grow its consumer real estate business by utilizing our significant advantages in size and scale.” via the Charlotte Business Journal: