March 25th, 2009 | by John | published in Commentary, FHA, News, Reverse Mortgage
Over at Broker Universe, Atare Agbamu wrote an interesting article about why he thinks HUD should revoke Mortgagee Letter 2008-38. The ML was a surprise and caused a bit of stir because of the way it defines a HECM as a non-recourse loan. Prior to ML 08-38, HUD’s policy for non-recourse was:
March 25th, 2009 | by Neil | published in FHA, News, Reverse Mortgage
Government’s role in reverse mortgages has always been prominent and now looks like it will become even more important, as private financing remains drier than the Mojave. Yet, some are expressing concern about Uncle Sam’s and Aunt Sarah’s exposure in the sector when it comes to longer life expectancy and continuing equity erosion. “A lot [...]
March 25th, 2009 | by John | published in News, Reverse Mortgage
With reverse mortgage legislation being proposed in states like California, Minnesota, it shouldn’t surprise anyone that Washington state is getting into the mix too. The overall goal of SB 5400 is to establish requirements for proprietary reverse mortgages and the lenders that offer them to consumers. According to SB 5400, Lenders who are licensed by [...]
March 24th, 2009 | by John | published in 1st Reverse, Jumbo Products, News, Reverse Mortgage
1st Reverse Financial Services announced yesterday that it will start taking applications for its new jumbo reverse mortgage product starting March 25, 2009. The FLEX-XL™ will initially be available to retail customers and a select group of correspondent before it’s opened up to everyone said President Ralph E. Rosynek. The FLEX-XL is an adjustable rate [...]
March 24th, 2009 | by John | published in FHA, News, Reverse Mortgage
The U.S. Department of Housing and Urban Development (HUD) Secretary Shaun Donovan announced yesterday that President Barack Obama nominated David Stevens as Assistant Secretary for Housing and Federal Housing Administration (FHA) Commissioner. He currently serves as the president and chief operating officer of the Long & Foster Companies, which includes Long & Foster Real Estate [...]
March 24th, 2009 | by John | published in News, Rates, Reverse Mortgage
This week, only Treasury-based HECM’s with a margin of +281 or less can pay the HECM maximum Principal Limit. Ditto for LIBOR-based HECM’s with margins of +252 or less. Current margins are higher than these figures. This week fixed-rate HECM’s range from 5.81% to 7.125% so we explore the range of benefits. Using this week’s [...]
