In case you missed it, here’s what happened in reverse mortgage news this week:
Brokers applauded CFPB’s LO comp plans… but reverse questions remain. In response to a recent rule proposed by the CFPB that would change the way mortgage loans are originated, many forward originators are applauding the efforts of the agency, while the impact on the reverse mortgage business remains to be seen.
Housing showed a promising uptick. Home prices rose month-over-month in June in all cities tracked by Standard & Poors/Cash Shiller’s monthly home price index (HPI). The national composite showed a near-7% increase in the second quarter alone.
A consumer group said the reverse mortgage application process needs work. The process needs to change according to the Center for Responsible Lending (CRL). The group suggests that the application process could be improved if potential borrowers first sought product information from a third party resources, rather than beginning the process through interaction with a lender.
Proficio mortgage made a big announcement. Proficio Mortgage Ventures announced it is devoted to growing its reverse mortgage business through the hires of more than 100 former First National Bank of Layton loan originators.
A WSJ article speculated on the value of Urban Financial Group. Urban says it remains fully committed to its reverse mortgage business despite a WSJ source who told the paper it could be a target for trimming in light of the company’s recent changes.
We’ll be on hiatus Monday observing the Labor Day holiday. Wishing everyone a safe and happy holiday weekend and see you back on Tuesday.
—The RMD Team