RMD reader James Nelson gave me some great feedback regarding the typical Friday post covering different stories from around the web.  Read his comment below.

you should recap remarks like you do articles. Most of the time comments of readers working in the trenches are a hell of a lot more interesting and educationally valuable than the articles you select. I’ve learned a great deal reading the thoughts of others on your web site.

Frankly, newspaper experts who don’t actually sell reverse mortgages to Seniors don’t always know what the hell they are talking about. It’s the real living challenges Seniors face that make this opportunity demanding.

James, this one is for you… 

Shaun Donovan is a smart, savvy, experienced housing professional who has. Been an executive with an FHA multifamily lender, a senior executive responsible for housing development and finance in local governmentand has spent time at HUD, where he was Deputy Assistant Secretary for Multifamily Housing. Everyone I work with on housing policy matters is very excited about his appointment. Every prior Secretary during my 30+ years working on housing matters in Washington, has been a mayor or other politically-connected appointee. Shaun is the first true housing professional we’ve seen appointed as Secretary., signifying President- elect Obama’s seriousness about dealing with housing issues.

-Peter Bell commenting on - Obama Names New HUD Secretary, What Does It Mean For Reverse Mortgages?

 

For a current applicant, live pricing makes no difference whatsoever. This is purely a technical change in how back-side compensation is calculated and paid.

But it could affect the HECM margins that a lender may decide to offer in the future, so that could indirectly affect the different margin choices you could show to new clients. 

Daily live pricing does not affect either the borrower’s monthly loan rate at which the loan balance grows, or the expected rate which is used to calculate the loan amount available.

Since live pricing does not affect the expected rate, it also has no effect on the borrower’s Expected Principal Limit lock on the better Principal Limit as of two dates - that of the application date or the closing date (as long as you close within 120 days of assigning the FHA case number).

- Bill Peters commenting on - Fannie Mae Transitions Reverse Mortgages To Live Pricing

Last but not least, everyone should read the comments regarding the State Of The Reverse Mortgage Counseling Industry 2008 Report.

Have a great weekend!

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