Mortgage Bankers Association Forms Reverse Mortgage Task Force

The Reverse Mortgage Report (RMR) just published that the Mortgage Bankers Association is forming a 15 member task force to help establish standards for the reverse mortgage business.  The task force will be lead by former MBA Chairwoman Regina Lowrie, who is the CEO of Vision Mortgage Capital of Pennsylvania. According to Lowrie and MBA […]

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 […]

New Reverse Mortgage Loan Limits Update

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, […]

Interview With National Reverse Mortgage Lenders Association President

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 […]

HUD Eliminates Reverse Mortgage HECM Advisor Program

Today FHA Commissioner Brian Montgomery conducted a telephone briefing on the FHA Modernization legislation and he announced that HUD will be eliminating the HECM Advisor program.  According to NRMLA, HUD will be issuing a Mortgagee Letter within the next 30 days because the new law requires that, “All parties that participate in the origination of […]

President Signs Housing Bill, Reverse Mortgages Receive New Loan Limit and More

Early this morning President Bush signed the Housing and Economic Recovery Act of 2008 with his economic team on hand, including Treasury Secretary Henry Paulson who helped negotiate the package with the Democratic-controlled Congress. Reverse mortgage originators have been anxiously anticipating the Bill which gives HECM’s a national loan limit of $417,000 and a max […]

New Rhode Island Law Passed For Reverse Mortgages

Rhode Island recently passed a new state law  for reverse mortgages to help protect consumers and permits lenders to charge prepayment penalties to borrowers who pay off their loans early. The prepayment penalties permitted in the new law are designed to enable lenders to recoup the cost of closing the loan “because they are very […]

FHA Modernization Update For Reverse Mortgages

NRMLA announced that on Friday, the Senate passed yet another housing bill (H.R. 3221) that includes Federal Housing Administration ("FHA") reform; Tax relief for homeowners; $300 billion for a mortgage refinance program to assist borrowers at risk of foreclosure into affordable loans; and Creation of a new regulator to oversee Fannie Mae and Freddie Mac. […]