January 2, 2008
Quicken Loans Inc. and RockBridge Equity Partners acquire One Reverse Mortgage One Reverse Mortgage is a rapidly growing provider of jumbo and Federal Housing Administration (FHA)-backed reverse mortgages. The San Diego-based company, which employs 100 people, will remain headquartered in California.
A reverse mortgage enables homeowners above the age of 62 to convert a portion of their home's equity into tax-free income without having to sell the home or take on monthly bills as the result of a home equity loan. The client does not have to repay the loan until they cease to occupy the home and the amount owed can never exceed the value of the home.
Reverse mortgages have become an increasingly popular financial planning tool with older Americans and consequently, the reverse mortgage industry has been growing at a rate of 35 percent annually. Analysts estimate that only one percent of the total market potential has been attained.
One Reverse Mortgage was founded in 2001 and is now focused on both the retail and wholesale reverse mortgage markets nationwide. The company will work closely with Quicken Loans to leverage several key areas including its brand, marketing and technology.
RockBridge and One Reverse Mortgage believe partnering with Quicken Loans, the nation's largest online retail mortgage lender; will enable One Reverse to build one of the most sophisticated reverse mortgage origination platforms in the country.
"We are extremely excited about our partnership with RockBridge and Quicken Loans as well as the tremendous resources they bring to us," said Sean Marsh, CEO of One Reverse Mortgage. "We've worked hard to build a strong foundation and we believe we've found the right people to help take us to the next level."
"Sean and his team share our commitment to taking care of 'every client, every time' and our obsession with continually finding a better way to make the home loan process easier," said Dan Gilbert."
"We plan on building One Reverse Mortgage in to the nation's premiere reverse mortgage lender by leveraging Quicken Loans' decades of best practices in technology, process, marketing, culture and client service," Gilbert continued "This will also help Quicken Loans serve a broader market by adding to the diverse range of products we offer our clients," he concluded.
"One Reverse Mortgage presents the exact type of opportunity we are pursuing as a private equity group," added RockBridge partner Brian Hermelin. "It's a great company in a growing and attractive industry, led by a talented and entrepreneurial management team."
Quicken Loans Inc., based in Livonia, Mich., is the nation's largest online retail mortgage lender, closing $19 billion in home loans in calendar year 2007. Quicken Loans originates loans in all 50 states from several centralized locations via the Internet. The Quicken Loans website has earned "Best of the Web" accolades from Forbes, Money and PC Magazines and the company has been ranked in the "Top 20" of FORTUNE Magazine's "100 Best Companies to Work for in America" list for five consecutive years. For more information, visit www.quickenloans.com.
RockBridge Equity Partners is a Livonia, Mich.-based private equity group that invests in growing businesses in the financial services, Internet technology, consumer direct marketing, and sports and entertainment sectors. For more information visit www.rbequity.com.
One Reverse Mortgage is a leading provider of FHA-sponsored reverse mortgage programs. Founded in 2001, the company is headquartered in San Diego, CA. For more information, visit www.onereversemortgage.com.
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