It’s rather fitting to talk about financial independence on the day our beautiful country gained its independence. The Fourth of July has become synonymous with fireworks, parades, barbecues, family, friends and more, but we want to use this day to help senior homeowners find a way to achieve financial independence. In 1988 Ronald Reagan signed …
Wells Fargo Exits Reverse Mortgage Business
Wells Fargo, the leading originator of reverse mortgages, announced today that they will discontinue offering Home Equity Conversion Mortgages (HECM). This comes after their March 1, 2011 announcement that they were exiting the wholesale reverse mortgage business. There is a lot of speculation as to why Wells Fargo reverse mortgage would make this move. In …
Continue reading “Wells Fargo Exits Reverse Mortgage Business”
Reverse Mortgage Pros and Cons
The last article we wrote about reverse mortgage pros and cons was in February of 2009. Since then, there have been a lot of changes, both good and bad, that we feel need to be addressed. 2010 was the year of regulation of the mortgage industry coupled by falling home prices. Now we’re half way …
Suze Orman Says Yes to Reverse Mortgages
Suze Orman on her CNBC show recently responded to a viewer question by stating that a reverse mortgage is a better option than selling stocks. During the segment, a caller stated that his 85 year old father had been liquidating stocks over the past few years to pay for larger ticket items, including the upkeep …
5.49% Fixed Rate, No Service Fees, No Service Fee Set-Aside
7/13/12 update: Current rates have changed since the post. below Be sure to check out our reverse mortgage rates page for current rates. We are pleased to now be able to offer the fixed rate HECM at 5.49% without monthly service fees or service fee set-asides. The net benefit to the borrower will be the …
Continue reading “5.49% Fixed Rate, No Service Fees, No Service Fee Set-Aside”
Fixed Rate Service Fee is Now $0
In an effort to remain competitive in today’s market, we have eliminated our monthly service fee on the fixed rate reverse mortgage. Traditionally, this fee would range from $25 – $30.
Congress Extends $625,500 HECM Loan Limit Through 2010
By NRMLA The continuing resolution (CR) that was passed by Congress yesterday and is now headed for the President’s signature extends the $625,500 national loan limit for HECM through calendar year 2010. Although the CR is a temporary measure providing funding thru 12/18/09 to allow a little more time for the appropriations bills to be …
Continue reading “Congress Extends $625,500 HECM Loan Limit Through 2010”
Reverse Mortgages – Does My Home Need to Be Free and Clear?
Recently I originated a reverse loan for a gentleman, Mr. Smith for the purpose of this article, who at first was very evasive about what he owed on his home. When Mr. Smith applied on my website he input that his home was free and clear.
HECM Principal Limit To Decline by 10%
Breaking News from Peter Bell, NRMLA President: I [Peter Bell] just got off a phone call with FHA Commissioner David Stevens and HUD Assistant Secretary for Congressional Relations Peter Kovar, who called to tell me that HUD has posted a Mortgagee Letter implementing the 10% haircut in principal limit factors, effective for all loans on which applications …
Death, Reverse Mortgages and Heirs
We all know that there are only two guarantees in life: death and taxes. Seeing as none of us are going to get out of here alive, it seems appropriate to discuss what happens when the last surviving spouse passes away when a reverse mortgage is secured by the property.