NRMLA is pleased to report that New York Governor Kathy Hochul signed legislation into law that permits reverse mortgages on cooperative housing for persons aged 62 and older. The bill becomes effective in 180 days.
NRMLA worked tirelessly in advocating for the passage of this co-op bill. NRMLA met with its retained NY lobbyists and the bill’s sponsors in Albany, NY to ameliorate any concerns regarding proper consumer protections for co-op owners. We also worked directly with other stakeholders, including AARP, the Council of New York Co-ops & Condominiums and the National Council of Housing Co-ops so as to navigate a successful path forward for this legislation.
FHA does not permit Home Equity Conversion Mortgages on coops, but the new law paves the way for lenders that offer private-label reverse mortgages in New York to provide products for co-op owners.