August 19, 2017

FHA Tightens Guidelines On Broken Reverse Mortgage Program, Major Lenders Exit The Business

Reverse mortgages, which have been available to elderly borrowers for over two decades, will become more difficult to obtain in the future.  Major reverse mortgage lenders have abandoned the product and the FHA has indicated that they will tighten underwriting guidelines due to the large number of reverse mortgage defaults. Last year, two of the […]

Banks Exit FHA Reverse Mortgage Program As Defaults And Losses Skyrocket

The FHA’s reverse mortgage program, known as the Home Equity Conversion Program, (HECM) has been very popular with retired borrowers.  The program allows homeowners 62 years of age or older to withdraw some of the equity from their homes without having to make a mortgage payment.  The money obtained under the HECM can be in […]