The Department of Housing and Urban Development published a notice in the Federal Register seeking feedback on certain documents that must be used in connection with HECM applications and originations.
What’s next: The public is invited to submit comments by April 26.
Go deeper: The Form HUD–92901, HECM Anti-Churning Disclosure has been revised to include updated privacy language and a new table to estimate the total cost of refinancing to the borrower and the amount that the principal limit will be increasing.
- The Fannie Mae Form 1009, Residential Loan Application for Reverse Mortgages is being replaced by the Fannie Mae Form 1003, Uniform Residential Loan Application;
- HUD 92900–A, HUD/VA Addendum to Uniform Residential Loan Application is being replaced by the HUD 92900–C, HUD Addendum to Uniform Residential Loan Application for Reverse Mortgages, which collects loan level data that is needed for insuring purposes and not found on Fannie Mae form 1003; and
- HUD is also adding a model HECM Program Disclosure to serve as a compliance aid for mortgagees to satisfy the regulatory requirements at 24 CFR 206.13 by providing borrowers with a disclosure that explains all products, features, and options of the HECM program that HUD will insure.
