Pamela H. Patenaude, the deputy secretary of the U.S. Department of Housing and Urban Development (HUD) under Secretary Ben Carson, resigned from her position on Monday, which will go into effect sometime in early 2019. “Serving at HUD as Deputy Secretary has been the highlight of my 35-year career in housing,” Patenaude said in a […]
Category: HUD
The lending limit for federally-backed reverse mortgages is increasing for the third consecutive year in a row and is set to rise to $726,525 in 2019. The Department of Housing and Urban Development (HUD) announced on Friday via Mortgagee Letter 2018-12 a maximum claim amount of $726,525 for calendar year 2019, up from $679,650 in […]
The reverse mortgage portion of the Federal Housing Administration’s Mutual Mortgage Insurance Fund continues to drag on the overall government-backed portfolio, according to an annual actuarial review of the fund’s finances released Thursday morning. At the end of fiscal 2018, the Home Equity Conversion Mortgage cash flow net present value, a measure reported to Congress […]
The Home Equity Conversion Mortgage product remains a priority for the Federal Housing Administration, which is continuing to examine both originations and back-end processes in order to ensure the program is self-sustaining, according to statements delivered by Federal Housing Administration Commissioner Brian Montgomery during the National Reverse Mortgage Lenders Association annual conference in San Diego […]
For Home Equity Conversion Mortgage applicants, only about half of those who complete the required loan counseling go on to close a reverse mortgage loan, according to industry data. Numbers from Ibis Software, which tracks HECM counseling sessions, indicate that last year’s changes to the program have contributed to this trend. “Forty-eight percent of endorsements […]
Some reverse mortgage counseling agencies received a financial boost Wednesday when the U.S. Department of Housing and Urban Development announced $47 million in grants to housing counseling organizations across the country. In addition to supporting counseling for first-time homebuyers and other homeowners, the annual grant money will help fund some reverse mortgage counseling operations. Quickcert […]
As the industry has positioned the Home Equity Conversion Mortgage as a strategic retirement tool for more affluent borrowers, an industry trade group recently issued an important warning: Do not accidentally terminate your loan by paying down your balance too low. Called a “HECM non-claim termination” in the Federal Housing Administration’s HERMIT system, this type […]
Despite almost two years of public support and amended bylaws, residents in one of Arizona’s 55-and-up communities must continue to wait to open reverse mortgages. Residents of the Sun City West active adult community, about 30 miles northwest of Phoenix, got a glimmer of hope in May when their governing body rewrote a bylaw to […]
As the reverse mortgage industry continues to adapt to the lower principal limit factors introduced last year — and the resulting volume declines — diversification has become a key watchword. Offer a wide range of potential solutions for a senior borrower, from reverse mortgages to forward refinances to real estate brokerage services, and you’re likelier […]
The reverse mortgage industry has seen a flood of new proprietary products this summer, and key software vendors have taken steps to upgrade their systems to keep pace with the changes. ReverseVision last week announced a program that allows lenders to incorporate their products into the San Diego-based company’s software within eight to 10 weeks, […]
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