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An alternative home equity-tapping product backed by former executives from a reverse mortgage lender has been rolled out to several additional states, following an earlier move that secured hundreds of millions of dollars in financing.
Cornerstone Financing, a venture co-founded by former Reverse Mortgage Funding (RMF) CEO Craig Corn, announced on Tuesday that the company’s specialty home equity-tapping product known as the Cornerstone Home Equity Insurance/Investment Funding Solutions (CHEIFS) has received approval in New Jersey, which joins 11 other states where the product is available.
The product is “designed to help homeowners convert a portion of their home equity into tax-free funding for retirement planning, insurance, annuities, and other financial needs,” the company explained.
“We are proud to expand our offerings in our home state of New Jersey,” said Daniel Anderson, company co-founder in a prepared statement. “Our growing presence across the U.S. is testament to our commitment to providing innovative financial tools for homeowners and advisors nationwide.”
Company leaders “look forward to helping more individuals to consider using their home equity value to make strategic financial planning decisions without taking on new debt or monthly payments,” Anderson added.
Along with New Jersey, CHEIFS is currently available in South Carolina, Nevada, Oregon , Vermont, Ohio, Massachusetts, Pennsylvania, California, Arizona, Florida and Missouri.
The move follows a significant financing milestone in November, where the company secured $285 million through global investment firms Aquiline Capital Partners LP and Nomura. The company argues that its product “aligns with the needs of financial advisors, insurance professionals, and wealth managers.”
The funding previously secured will also go toward expanding its national footprint, the company said.
Corn is a longtime reverse mortgage industry professional, having served in leadership roles at Financial Freedom and EverBank Reverse Mortgage, and as vice president for MetLife’s reverse mortgage division. In 2013, Corn and his partners launched RMF, which became a leading reverse mortgage lender.
Following the collapse of RMF and the assumption of its servicing portfolio by Ginnie Mae, Corn and Anderson went on to launch Cornerstone Financing in May 2023.
