Fannie Mae announced June 1, 2009 that effective September 1, 2009, they will no longer offer reverse mortgages based on the CMT or Constant Maturity Treasury. They will continue to offer the LIBOR (London Interbank Offered Rate) index.
Reverse Mortgage Rate Costs
In our previous article, “My Reverse Mortgage Costs How Much,” we explored all the upfront fees involved in a reverse mortgage. Now, of equal importance, we explore continual costs that are accrued during the life of a reverse mortgage. These costs include the interest rate, the ongoing HUD Mortgage Insurance Premium (MIP), and the monthly …
My Reverse Mortgage Costs How Much?
As a short term financing tool, reverse mortgages are an expensive proposition. However when used long-term, those expenses are spread throughout the life of the loan, making a reverse mortgage a viable solution to supplement retirement income, pay off a mortgage and have extra cash available to enjoy life to the fullest without the worry of mortgage …
The Reverse Mortgage Process Explained
Picture this… you’re a senior homeowner and nearly every time you go to your mail box, you get 1-5 solicitations for a reverse mortgage. You keep all the postcards and letters handy in case you decide to make a decision to proceed with a reverse mortgage. You’re starting to learn a lot about the program just from …
Misuse of Reverse Mortgage Terminology
I recently read an interesting article by James E. Veale of Security One Lending on Reverse Mortgage Daily titled “Are Reverse Mortgages Really Income?” The main thrust behind the article is that several reverse mortgage professionals are misusing the term “income” to describe the proceeds of a reverse mortgage.
FHA Officially Raises HECM Loan Limit
Mortgagee Letter 2009-07 Raises Limits to $625,500 The U.S. Department of Housing and Urban Development published Mortgagee Letter 2009-07, which officially raises the national limit for Home Equity Conversion Mortgages from $417,000 to $625,500 for the remainder of 2009.
With money running out, he cosiders a reverse mortgage
Great article from the Wednesday, February 4, 2009 Sacramento Bee. In the article Rashida Lilani recommends as a way to increase options, that seniors go through a broker when obtaining a reverse mortgage versus a bank. She also advises to “do your homework.” MLS Reverse Mortgage advises the same. A reverse mortgage is a major …
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New Reverse Mortgage Loan Limit: $625,500
The economic stimulus bill signed into law yesterday (2/17/09) by President Obama will raise the single national loan limit for HECMs (Home Equity Conversion Mortgage) to 150% of the Freddie Mac loan limit. That would create a HECM limit of $625,500. Currently, this limit is only applicable for loans made during the balance of 2009.
Final Version of Economic Stimulus Package Raises HECM Loan Limits to $625K
NRMLA (reversemortgage.org) NRMLA is pleased to report that the compromise package approved by the House-Senate conference committee yesterday does indeed set the HECM loan limit at 150% of the Freddie Mac limit, which would put it at $625,500 — for the balance of 2009.
Stimulus Bill Compromise Includes Higher HECM Loan Limit
NRMLA – reversemortgage.org NRMLA is pleased to announce that we have learned that the compromise package emerging from the House-Senate conference committee includes the House language setting the HECM loan limit at 150% of the Freddie Mac limit, which would put it at $625,500 — for the balance of 2009 only. (Congress would have to act …
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