FHA Reverse Mortgage Changes are a Mixed Bag

Here is an article from Reverse Mortgage Daily Enjoy, PG

Reverse Mortgage Changes are a Mixed Bag, Lenders Say

By Elizabeth Ecker

In its announcement of long-anticipated changes to the Home Equity Conversion Mortgage program, the Department of Housing and Urban Development has stated its initiative to shore up its insurance fund and make reverse mortgages safer for borrowers.

Short term, estimates that reduce the amount borrowers can access by around 15% as well as a financial assessment overlay that will restrict access to some senior homeowners have raised serious concerns among lenders with respect to the future of the program and the “new” future borrower.