Archive for June 2013

New HECM Loan Structure Approaches

A bill was introduced in May by two members of Congress that is intended to stabilize the Federal Housing Administration’s Home Equity Conversion Mortgage (HECM) program and provide the Department of Housing and Urban Development (HUD) with more authority over these loans.
Legislation H.R. 2167, also known as the Reverse Mortgage Stabilization Act of 2013, was [...]

Congress Considers the Reverse Mortgage Program

A report which was recently presented to Congress by the Department of Housing and Urban Development (HUD) indicates that the first quarter of 2013 shows that the Home Equity Conversion Mortgage program is generating a positive cash flow.
An annual audit and report to Congress in autumn 2012 showed that a shortfall in the Reverse Mortgage [...]

Congress Requests that Changes be Expedited for Reverse Mortgage Loan

Last month members of Congress reviewed the U.S. Department of Housing and Urban Development’s Home Equity Conversion Program (HECM) in an effort to determine how and when the program could be shored up. In December 2012 Federal Housing Administration (FHA) Director Carole Galante, responding to an actuarial report, testified before Congress that the HECM — [...]

New Changes for the HECM Loan

Congress and the Obama administration have signaled that they are continuing to support the Reverse Mortgage product, even though insuring the loan has cost the Department of Housing and Urban Development (HUD) close to one billion dollars in losses due to defaulted mortgages. Instead of dropping the product the HUD and the Senate Transportation, Housing [...]