In response to the email NRMLA sent out the other day regarding the forthcoming implementation of the new HECM loan limits, they received a number of questions and forwarded them to HUD. The following four bullet points are “verbatim” answers NRMLA received from Meg Burns in an email message that she sent out to the […]
Category: FHA
No Mortgagee Letter yet for the new single national loan limit for HECMs, but according to NRMLA’s latest alert we are getting close. Yesterday, NRMLA sent an email stating that the Office of Single Family Housing hopes to complete drafting the Mortgagee Letters (one for loan limits and one for origination fee caps) and place […]
Today Department of Housing and Urban Development (HUD) announced that $50 million in housing counseling and counseling training grants that will go out to nearly 400 national state and local agencies. The counseling grants will assist families in becoming first time homeowners and remain homeowners after their purchase. A portion of the grants will help […]
The Department of Housing and Urban Development (HUD) published Mortgagee Letter 2008-28 which prohibits mortgagee funded HECM counseling. The mortgagee letter implements the section of the Housing and Economic Recovery Act of 2008 which restricts lenders from paying for counseling.According to the mortgagee letter: HUD requires that the HECM mortgage must be executed by a […]
The National Reverse Mortgage Lenders Association (NRMLA) just sent out an email confirming that the new HECM loan limit will be $417,000. Right now the target date is November 1st, but this is not a set deadline, just a target date. NRMLA also expects FHA to increase the floor on the origination fee to $2,500, […]
This morning at the Mortgage Bankers Conference in Miami, Brian Montgomery announced that the new HECM loan limit is $417,000. A mortgagee letter will be issued soon and will become effective November 1st. More to come as I get it…. Thanks to Ralph, Thomas, Aman, and Dave for the info. Click here for the update […]
Today was the day that many hoped HUD would announce the new HECM loan limits but unfortunately it doesn’t look it’s happening. While I’m not trying to be overly optimistic about when it will happen, I’m thinking we could hear something by the end of the week…why? The Mortgage Bankers Association is hosting their Fall […]
Wholesale reverse mortgage lenders continue to eliminate their HECM Advisor program due to HUD officially killing it with their recent mortgagee letter. There are plenty of people who used the program responsibly but many feel the HECM advisor program was to blame for some of the problems our industry has faced with unscrupulous lenders. Overall […]
This month’s Reverse Review includes an interview with NRMLA President Peter Bell where he discusses the current state of the industry and gives background on the FHA Modernization Bill. During the interview, Bell gives insight into how policy makers make decisions and the reasoning behind it. “There is a challenge in making policy in that […]
The U.S. Department of Housing and Urban Development recently published Mortgagee Letter 2008-24 which clarifies who is eligible to originate HECMs and discusses the cross selling provisions contained in the Housing and Economic Recovery Act of 2008 (HERA). Effective October 1, 2008, ML 2008-24 restricts the origination of HECMs to FHA-approved loan correspondents/sponsors FHA-approved mortgagees […]
