In case you missed it, here’s what happened in reverse mortgage news this week.
HECM applications fell 12.7% in July, but the Saver remained stable. Total applications fell to 7,639 in July, posting a year-over-year loss of 14.8%. HECM Saver volume showed its first monthly loss, but as a percentage of total HECMs, the Saver is still on the upswing, capturing 9% of volume in July.
California took further steps against cross-selling. On August 18, the California legislative branch passed a law in an attempt to further harness cross-selling. It is now awaiting the expected approval signing by the governor. The bill attempts to prohibit specified activities and prevent insurance producers from receiving compensation in specified sales situations.
A reverse mortgage coalition told RMD about its recent visit to policymakers in Washington. The Coalition for Independent Seniors had 17 meetings at the Capitol before the summer recess, where the group stressed the importance of reverse mortgages in the coming years as well a the need to restore funds for HECM counseling.
An Ibis report showed 10% of future HECMs could lose out if loan limits fall at year-end. Announced last week, the higher HECM loan limits determined by the Federal Housing Administration have been extended through calendar year 2011. If they come down, Ibis said, 10% of HECMs could be impacted.
The deadline for an appraisal industry overhaul was extended. The deadline for HUD’s implementation of new Uniform Appraisal Dataset (UAD) requirements has been pushed back to January 1, according to Mortgagee Letter 2011-30, released on Monday. Fannie Mae’s implementation date stands.
Generation Mortgage announced new leadership and retail organization. Generation will operate two retail hubs located in New York and California, and has appointed new leadership to oversee them.
Written by Elizabeth Ecker