Security 1 Lending
Founded in 2006 and based in sunny San Diego, California, Security 1 Lending (aka S1L) is a major player in the reverse mortgage industry. The company purchased Omni Reverse in 2009, significantly growing its market share. S1L operates in 40 of the 50 states and has more than 200 loan officers – it’s a big operation!
You may know Security One from its television commercials, which star musician Pat Boone. The commercials generally offer consumers the opportunity to contact the company to receive more information, which is an important part of the reverse mortgage research process. Here is one example:
What are my options for receiving the proceeds?
When you take out a reverse mortgage, you essentially have three options for how to receive the funds. First, you can choose to receive a lump sum payment, taking everything at once when the loan closes. This has been an extremely popular option since it was introduced in the late 2000s, though we recommend that you think it over carefully before receiving a lump sum. After all, once it’s gone you’ll have used up a huge portion of your home equity.
The second option is to receive monthly payments, either for a defined period of time or every month for as long as the youngest borrower remains in the home. For example, a homeowner could choose to receive a monthly payment each month for 5 years.
Finally, you can choose a line of credit. If you pick this option, you have created a credit line that you can draw upon at any time. If you don’t draw from it, the credit line will grow over time, a very nice feature. You may also mix and match these three options as needed.
More about Security One
As of this writing, S1L has an A rating with the Better Business Bureau and is a member of the National Reverse Mortgage Lenders Association. If you want to learn more, you can contact them at S1L.com for more information.