Why the Administration took this course of action may never be fully known. Some have said it was a power play but who were the players? Some have called it a realistic approach but by whose standards? In some intra-governmental squabbling HUD has been accused of being too optimistic over home appreciation rates despite using third party estimates.

There is still a glimmer of hope that Congress may reverse itself and provide a full subsidy. Even a partial subsidy would help. With some loans closed and many more on the verge of closing reflecting the lower PLFs, all we can do is hope this will be clarified soon.

Almost two months ago, some RMD readers opined that it was too late to write members of the Conference Committee over this bill. In an article dated 9/21/2009, a reader listed the members of the committee in a comment identifying their political party affiliation and state of residence. Since the bills conflict over funding the needed HECM subsidy, writing a calm, polite letter to these lawmakers requesting their support in helping our seniors is not meritless.

Hard to say for certain, but the numbers seem about right.