Eric Lovins on Luminate Bank’s reverse mortgage growth, M&A strategy

In a reverse mortgage market often dominated by a few legacy players, Minneapolis-based Luminate Bank has gained market share. The lender recently delivered a breakout performance, posting 211 Home Equity Conversion Mortgage (HECM) endorsements from January to August. That volume represented a 47% jump from the same period last year, according to data compiled by Reverse Market Insight. Luminate’s playbook is distinct in the modern mortgage landscape. After a team of mortgage executives acquired the bank in 2020, they set out to build a “concierge” financial experience that blends traditional mortgage lending with depository services. “As we enter into the consumer’s life, we can take a holistic financial wellness approach. We’re offering 3.5% on savings at Luminate Bank. We can combine that and provide a great experience for them,” Eric Lovins, co-founder and president of mortgage lending, said in an interview with HousingWire’s Reverse Mortgage Daily (RMD). By offering proprietary reverse products alongside a full suite of banking tools, Luminate aims to win the industry’s “data war” by keeping clients within its ecosystem, dramatically boosting long-term retention and giving loa...