To help our members get to know one another, NRMLA publishes periodic Member Spotlights featuring professionals from across the reverse mortgage ecosystem.
Meet Russell Arceri, President/CEO of Five Star Reverse Funding, based in Bohemia, NY.
Russell started his career in financial services in January 1977. He got into residential financing in 1998 and since 2009 has concentrated solely on reverse mortgages after helping his 89- year-old mother avoid a nursing home.
How did you get into the reverse mortgage world?
My mother had a home with no mortgage but had to pay taxes, insurance, electric, oil for heat, water and she liked to eat three meals daily. The $467 Social Security monthly income didn’t go too far. So about 20 years ago, I learned about reverse mortgages and originated my mothers’ loan. Because of that she lived in her home till she passed at age 97 having the resources to pay expenses and “live in” care. From that moment on seeing how GREAT this product was I started doing reverse mortgage loans only. The product is so great I have a reverse mortgage myself for the line of credit feature. My line of credit has over $400,000 in it, growing by $30,000 per year, which gives my wife great comfort.
What has been your biggest professional challenge/obstacle thus far? How did you overcome/handle it?
The greatest challenge beyond sitting with all family members who think the government will own the home or the product will somehow rob the borrower is the two percent up-front fee. This fee is troublesome in ALL cases and a deal breaker for some.
If you could offer one piece of advice to someone who wants to get into the reverse mortgage world, what would it be and why?
Be prepared to deal with NOT only the borrower but the borrower’s son or daughter, the “know it all” best friend and the uninformed CPA, financial advisor or lawyer who say stupid things like “stay away from it” with no real reason why.
What do you like to do in your spare time? Do you have any hobbies or pursuits?
In my spare time, I exercise twice a week at Bushido Martial Arts Academy, spend time with my wife of 40 years and attend church and men’s prayer breakfasts promoting the Gospel of Jesus Christ.
What do you love most about working in the reverse mortgage industry?
The product, both HECM and proprietary, helps people live comfortably. Living solely on Social Security on Long Island, NY in many cases can’t even pay property taxes. I have an office wall of post-closing letters of unsolicited testimony from clients stating the joy they now have with financial freedom. Pre-financial assessment I was able to get a deed back from the county due to back taxes owed. That lady would have been on the street homeless.
Who inspires you?
At age 68 and in the financial services industry for over 47 years with 27 of them as a mortgage company owner and originator, it has become fun rather than work closing reverse mortgage loans and I attend EVERY closing.
