Archive for May 2013

Reverse Mortgage Tool for Borrowers

Since Congressional hearings in the winter 2012/2013 highlighted the shortfall in the Department of Housing and Urban Development’s Reverse Mortgage program the media has devoted significant attention to the issue, including to the problem of rising loan delinquencies.
Renewed attention is now being focused on an often overlooked Federal guideline that can help steer borrowers out [...]

Tenure Payment Loan Payout Option Turns Retirees’ Homes into their Pension

The Reverse Mortgage loan allows retirees to turn their home’s equity into an annunity-like pension product that pays them a fixed monthly payment for as long as they live in the home. This loan, the Home Equity Insurance Mortgage (HECM) is federally insured and guarantees monthly payments.
This prospect is an attractive one because consumer analysts [...]

Protecting Reverse Mortgage Borrowers

The prototype of today’s HUD Reverse Mortgage was first introduced to the public in 1989. Since that time a number of changes have been implemented to strengthen the loan.
The American Association of Retired Persons (AARP) has been at the forefront of leading the challenge to improve the Reverse Mortgage product. In 2008, relating to one [...]

Reverse Mortgages How they Work

Reverse Mortgages How they Work
If you’re 62 or older you may be beginning to do some financial planning for your retirement years. This is the time to take a good look at your projected income and plan how you want to allocate your resources.
Many people are including a Reverse Mortgage in their retirement financial [...]

Reverse Mortgage Changes Necessitate New Training for Lenders

In April of 2013 the Federal Housing Administration (FHA) suspended the most popular payout method of the HECM Standard. Lending institutions only had a few months to prepare for this change but most professionals believe that, in the long run, the HECM (Home Equity Conversion Mortgage) will be strengthened, although proper staff training will be [...]