Government Shutdown Impact on Reverse Mortgages

[Updated 12/26/18] What happens with your reverse mortgage in a Government shutdown? In the event of a Government shutdown, as is currently the case, the Federal Housing Administration's Office of Single Family Housing (FHA) and its mortgage insurance fund will operate with limited services. We will continue to close HECM reverse mortgages that fully comply …

2018 Reverse Mortgage Limit Increased to $679,650

For all HECM reverse mortgage loans origination on or after January,  2018, the reverse mortgage limit or maximum claim amount (MCA) for has increased from the prior limit of $636,150 to the new limit of $679,650, according to Mortgagee Letter 2017-17. The Mortgagee Letter was published December 7, 2017 by the Department of Housing and Urban Development. …

New Reverse Mortgage Rules Starting September 19, 2017

Reverse Mortgage Final Rule (HECM Final Rule) The purpose of this bulletin is to summarize the key changes to the HECM program in accordance with HUD’s Final HECM Rule. This bulletin summarizes the key changes affecting the origination of HECM loans. Additional guidance on how to implement and apply the below changes is forthcoming.

HUD Releases Changes to the HECM Reverse Mortgage Program

After much anticipation and speculation, the Department of Housing and Urban Development (HUD) has released a multitude of changes to the HECM program. “These changes to reverse mortgages will protect consumers,” according to Carol Galante, Federal Housing Administration (FHA) Commissioner and Assistant Secretary for Housing. The following is a summary of the changes that were announced …

HUD to Eliminate The Fixed Rate Standard Reverse Mortgage

After much speculation, HUD announced the future elimination date of the Fixed Rate Standard Home Equity Conversion Mortgage (HECM). For new case numbers assigned on or after April 1, 2013, any homeowner seeking a fixed rate reverse mortgage will be limited to the Fixed Rate Saver Program. HUD also notes that all fixed rate standard loans must …

CFPB Reverse Mortgage Report: What You Need to Know

You’d be hard pressed to do an online search for reverse mortgage information today without coming across an article about a recent landmark government report on the product and the lenders who offer it. The CFPB reverse mortgage report spans more than 200 pages of research recently conducted by the Consumer Financial Protection Bureau and …

HECM Loan Limit Increase Included in Stimulus Plan

We are pleased to announce that the draft of the economic recovery bill released by the House of Representatives late yesterday contains a provision, inserted in response to a request that came jointly from NRMLA and AARP, that would set the single national loan limit for HECM at a higher level than $417,000–for the balance …