Happy Friday! You’ve made it through another week. The weekend is near, but before you take off, here’s what happened in reverse mortgage news this week.
Reverse Mortgage Industry Voices Concerns Over FHA’s HECM Proposals — The comment period entered its final throes for the Federal Housing Administration’s latest proposed changes to the Home Equity Conversion Mortgage (HECM) program. The last day to submit comments is Monday, July 18 at 11:59 PM (ET) and so far there are 40 comments as of this round-up post. These comments surround concerns about the proposed rate cap and the community association rules for the HECM program.
Liberty Highlights Clients’ Reverse Mortgage Experiences in New TV Spot —Liberty Home Equity Solutions launched a national television campaign this week. The commercial, which will air across the country on cable TV networks, focuses on clients sharing their success stories that came from using the reverse mortgage product.
How Community Banks Feed Into the Growing Appetite for Reverse Mortgages — Reverse mortgages are looking more appealing to smaller community banks as some of the market’s largest lenders abandoned the space following several industry issues in recent years. The implementation of the new underwriting standards and consumer protections are now making the HECM product more valuable, community banks say.
Personal Finance Columnist Changes Stance on Reverse Mortgages — A long time skeptic of reverse mortgages has changed his tune and recently wrote about it in the Chicago Tribune. One of the many reasons he is now taking a second look at the program is due to the recent changes the program has made as well as the lower closing costs for borrowers.
HUD Updates Reverse Mortgage Financial Assessment Details — Changes were made to the details of the reverse mortgage Financial Assessment this week. The Department of Housing and Urban Development released a mortgagee letter late Wednesday evening that includes an updated Home Equity Conversion Mortgage Financial Assessment and Property Charge Guide.
Written by Alana Stramowski