Reverse Market Insight, Inc., Dana Point, CA, the reverse mortgage industry’s main data collector, was awarded a contract by the U.S. Department of Housing and Urban Development to assist with the ongoing maintenance of the Home Equity Reverse Mortgage Information Technology (HERMIT) system.
Reverse Mortgage Solutions, Spring, TX, began developing HERMIT in 2009 and formally launched in 2012 to automate the collection of mortgage insurance premiums and the filing of insurance claims between mortgagees and FHA. For the past six years, HUD has relied on a third-party contractor outside of the reverse mortgage industry to provide HERMIT system upgrades and Help Desk services.
HUD will announce the new contract with RMI in a forthcoming mortgagee letter.
“What this new contract means is that we can continue to enhance and build the existing HERMIT system for HUD and the HECM industry,” said Kevin J. Gherardi, Chief Information Officer at RMS. “We don’t have to reinvent the wheel or retrain the industry on a new system resulting in internal process changes. It’s a huge relief that HUD recognized that HERMIT is a solid system and that RMI has assembled a perfect team to continue building on what already is a sound structure.”
RMI was co-founded in 2007 by John Lunde, who previously led the Business Metrics & Analysis team at Financial Freedom Senior Funding Corporation. Because of his extensive reverse mortgage experience, Lunde said it should be easier to work cooperatively with HUD and the entire project team to keep HERMIT functioning at a high level and make further enhancement over time.
“We’re excited to step into this critical role for the industry and leverage all the strengths of the project team to provide the best service possible to HUD and everyone in the industry who depends on the HERMIT system,” said Lunde.