Bank of America recently announced that they will be offering LIBOR based reverse mortgage products to wholesale brokers.  According to the announcement, Bank of America still believes that the CMT index is better for you and you customer but they realize the spreads between LIBOR and CMT are volatile and may reverse course in […]

When Bank of America completed the purchase of Countrywide in July, there was no mention of what would happen each companies reverse mortgage mortgage divisions.  If you take a look at last months HECM endorsements, Countrywide was the third largest originator of HECMs and Bank of America was fifth.  Together the two companies become […]

Late Friday afternoon Countrywide announced that they were discontinuing their reverse mortgage broker advisor program due to the Housing and Economic Recovery Act of 2008 being signed by the president.
While we haven’t seen the mortgagee letter from HUD regarding the elimination of the program, Countrywide is taking a proactive approach.  According to the email […]

On May 16, 2008, the U.S. Department of Housing and Urban Development published Mortgagee Letter 2008-14, which provides guidance on the role of “advisors” in the HECM program.  The only lender I’ve seen make any drastic changes to their advisor programs after ML-14 was released is Countrywide.  As of May 16th, Countrywide Reverse Mortgage […]

As the credit crunch spreads into the proprietary reverse mortgage business, it is beginning to cause issues for both originators and borrowers with dwindling options for these products. Welcome to the land of the Double Application.
Many loan originators have begun having to originate two reverse mortgages at the time of application never knowing if one […]