Value Of FHA Insurance Fund Down, What Does It Mean For Reverse Mortgages?

I know that there are plenty of people who wish the Federal Housing Administration would lower the 2% upfront premium for HECMs, but it doesn’t look like it will happen anytime soon.   Yesterday, the Wall Street Journal published an article about how the latest annual audit of FHA shows a steep drop in the capital […]

FHA Commissioner Sees Bright Future For Reverse Mortgages

HeraldNet writer Tom Kelly does a great job covering reverse mortgages.  His most recent article, Even now, reverse mortgages a viable option describes how even with the credit crunch, the reverse mortgage industry grew for the 19th straight year.  While the 4.3 percent growth in HECM volume isn’t close to what the industry has seen […]

HUD Publishes Special Pages About HECM For Purchase & New Loan Limits

Yesterday HUD published two new documents regarding the HECM for purchase and new mortgage limits to help clarify the changes.  The HECM for purchase document is a Q&A with 25 questions and the mortgage limits document includes a table displaying the loan limit and origination fee changes. A quick look through the questions and here […]

HUD Publishes New HECM Origination Fee Mortgagee Letter

Yesterday HUD published Mortgagee Letter 08-34 which established the new origination fee limit that may be charged for a HECM.  According to the ML, all HECMs where the FHA case number is assigned on or after the date of this mortgagee letter, the loan origination fee limit will be the greater of $2,500 or two […]

HUD Publishes New HECM Loan Limit Mortgagee Letter, Let The Apps Begin

Today HUD published Mortgagee Letter 08-35 which establishes a new national loan limit of $417,000 for all HECM loans.  According to the ML, lenders must use the new national mortgage limit and calculate the loan origination fee using limitations established by HERA, and new policy guidance issued by FHA, when re-calculating HECM loans that did […]

New HECM For Purchase Calculator

Looking to run a scenario for your borrowers interested in the HECM for purchase program?  Ibis has created a calculator that can be used by lenders, consumers, real estate agents and home builders. Right now there is a complex and a simple form to run scenarios. The complex form allows for the actual appraised value […]

HUD Issues HECM For Purchase Mortgagee Letter

Today HUD published Mortgagee Letter 08-33 which establishes the HECM for purchase program.  FHA insured HECMs can now be used to purchase a principle residence (1- to 4-family dwelling unit) with the loan proceeds as long as the FHA case number is assigned on or after January 1, 2009.  According to the ML, the Federal […]

Reverse Mortgages Discussed At AARP’s Solutions Forum

 AARP’s Public Policy Institute recently sponsored a Solutions Forum which highlighted its new PPI report entitled “A First Look at Older Americans and the Mortgage Crisis”.  The report  presented the first analysis of delinquencies and foreclosures among Americans age 50 and over.  The Solutions Forum was also meant to stimulate discussion on several policy options […]

HUD Permits Applications For New Reverse Mortgage Loan Limit

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 […]

NRMLA Expects Mortgagee Letter For New Reverse Mortgage Loan Limits Soon

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 […]