In case you missed it… here’s what happened in reverse mortgage news this week.
HUD Chief Shaun Donovan went to Congress seeking more reverse mortgage authority. In order to prevent sweeping changes such as a reverse mortgage moratorium, FHA will need more authority to make sensible reverse mortgage changes, Donovan told a Congressional panel during a hearing Thursday. Read RMD’s coverage of the hearing.
ABC News covered reverse mortgages and risk warnings. In the segment hosted by ABC’s Diane Sawyer, the outlet interviews a non-borrowing spouse of a reverse mortgage borrower. The segment outlines risks and warnings for borrowers.
New analysis countered the findings of FHA’s recent audit. Contrary to findings in the FHA audit indicating the agency’s reverse mortgage portfolio is $2.8 billion in the red, New View Advisors bases its analysis on slightly different assumptions, finding the fund may actually be in the black.
HUD faced tough reverse mortgage decisions. In an interview with RMD, former FHA Commissioner and current Mortgage Bankers Association President David Stevens outlined the challenge at hand for HUD in managing FHA’s reverse mortgage program going forward.
Written by Elizabeth Ecker