“I can’t comment publicly, but all I ask is you give me an hour,” the Wells Fargo spokesperson said to me during a brief conversation about three hours prior to the official announcement. “We want to make sure we do this right.” After getting over the initial shock of the announcement, I was expecting some […]
Category: Commentary
When I read that Canada’s HomEquity Bank released a reverse mortgage product available to people 55 and older, I was impressed. Someone was offering a product that wasn’t available here in the United States. Up in Canada, the market for reverse mortgages is continuing to grow, up 16% from last year and brings HOMEQ Corporation’s […]
It is clear to all reverse mortgage participants that something has to be done to improve our image. It was the reoccurring theme at the recent NRMLA conference. But talk can be cheap and without a coordinated, concerted effort to take control of our public perception, we may struggle to convince lawmakers, regulators, seniors and […]
I’ve been hearing from several HECM counselors and reverse mortgage lenders about the problems associated with some of the new counseling procedures and FHA Connection. Below is an article written by Enrique M. Juarez, HECM Manager, CCCS of Orange County to help explain some of the issues. Technology First I would like to deal with […]
As the reverse mortgage industry faces a $798 million subsidy request, there is plenty of discussion from industry leaders and politicians about how to change the program to ensure its success and viability. The knee jerk reaction from most is to cut the principal limit to ensure that no subsidy is needed for the government […]
On a daily basis, we hear about the economic crisis and the hardships plaguing our country, from the loss of jobs, to high unemployment rates, crashing property values and companies closing up shop. It’s disconcerting to say the least. What I find to be more disturbing is that our lawmakers would reject a $789 million […]
Ding Ding! Here comes “Round 2” from Atare Agbamu in his second installment of An Assault on Fairness: Quash Mortgagee Letter 2008-38 (Part 2). In Round 2, he discusses how the arms-length rule in the ML has the potential to arouse anger and alienate seniors’ heirs and relatives, which he calls the “core centers of […]
With echoes of earlier calls for “net tangible benefits” from the forward world resonating, suggestions now are being floated for “financial assessments” of seniors in the mood for a reverse mortgage. Washington, D.C. attorney Jim Milano says “one policy [question] floating around is whether seniors need some kind of financial assessment and, if so, who […]
Along with the recent changes to HECM counseling, the Department of Housing and Urban Development is expected to unveil a new counseling protocol next month to help borrowers asses whether a reverse mortgage is the right choice for their financial situation. The new protocol will include stronger assessment tools as well as the creation of […]
Over at Broker Universe, Atare Agbamu wrote an interesting article about why he thinks HUD should revoke Mortgagee Letter 2008-38. The ML was a surprise and caused a bit of stir because of the way it defines a HECM as a non-recourse loan. Prior to ML 08-38, HUD’s policy for non-recourse was: The HECM is […]
