The following section lists the primary regulations pertaining to the FHA’s Home Equity Conversion Mortgage Program, used by compliance, underwriting and servicing staff.
Loan Servicing
Houston Mortgage Assistance Events Help Reverse Mortgage Borrowers Impacted by Hurricane
The HOPE NOW alliance coordinated a series of six free mortgage assistance events in Houston from late September through early October. More than twenty-three mortgage servicing companies participated in events, including several reverse mortgage servicers, to provide their hurricane-impacted borrowers with guidance and information. NRMLA promoted the events to Houston media, liaised with the Harris … more Houston Mortgage Assistance Events Help Reverse Mortgage Borrowers Impacted by Hurricane
HUD Releases Updated HERMIT Software
The Department of Housing and Urban Development released new enhancements to the Home Equity Reverse Mortgage Information Technology (HERMIT) platform that servicers use to collect mortgage insurance premiums, file insurance claims and assign loans to FHA. Of particular note, HERMIT System Changes – Release 5.4 provides access to Death Master Files (DMF) from the Social Security Administration … more HUD Releases Updated HERMIT Software
FHA Provides Property Inspection Waiver for Florida and Foreclosure Relief for Georgia Counties
The Federal Housing Administration published a policy waiver on the timeframe for completing inspections of properties prior to closing or submitting mortgages for insurance endorsement in Presidentially-Declared Major Disaster Areas of Florida impacted by Hurricane Irma. The Department of Housing and Urban Development announced separately that it would grant a 90-day moratorium on foreclosures and … more FHA Provides Property Inspection Waiver for Florida and Foreclosure Relief for Georgia Counties
HUD Issues FHA Info #17-40 with HECM Updates and Reminders in Advance of Final Rule
According to FHA Info #17-40, on September 18, 2017, the Federal Housing Administration (FHA) will update its FHA systems to accommodate: The implementation of origination and servicing policies contained in the Home Equity Conversion Mortgage (HECM) program final rule that published on January 19, 2017; The servicing implementation guidance issued in Mortgagee Letter 2017-11 on … more HUD Issues FHA Info #17-40 with HECM Updates and Reminders in Advance of Final Rule
Helping HECM Borrowers in Texas and Florida
NRMLA servicing experts offer the following guidance for homeowners impacted by hurricanes Harvey and Irma: Contact your insurance company right away to file a claim if damage has occurred to your home; After that, contact your loan servicer to inform them if damage has occurred to your home; and Depending on the severity of the … more Helping HECM Borrowers in Texas and Florida
HUD Publishes Servicer Guidance
The Department of Housing and Urban Development published Mortgagee Letter 2017-11 today to further clarify new servicing requirements in the HECM Final Rule that become effective for all case numbers assigned on or after September 19, 2017. Specifically, this Mortgagee Letter provides more detail on the following three areas of servicing policy included in the … more HUD Publishes Servicer Guidance
Financial Assessment Is Working (Part III)
Financial Assessment is still working. FHA’s new policy of requiring the financial assessment (“FA”) of the borrower’s ability to pay has cut tax and insurance default by nearly three quarters and serious defaults by almost two-thirds. These results continue to validate the encouraging data we shared 3 months and 6 months ago. FHA’s objective for … more Financial Assessment Is Working (Part III)
Financial Help for Delinquent HECM Borrowers
The Federal Housing Administration and reverse mortgage servicers have done a remarkable job helping HECM borrowers who have fallen behind on paying property taxes, homeowners insurance or condo fees bring their loans current. In addition to FHA’s loss mitigation tools, an increasing number of states have allocated federal “hardest hit funds” to help reverse mortgage … more Financial Help for Delinquent HECM Borrowers
Financial Assessment Looks Better and Better
Financial Assessment is still working, only more so. FHA’s new policy of requiring financial assessment (“FA”) of the borrower’s ability to pay has cut tax and insurance default by nearly three quarters and serious defaults by almost two-thirds. These results are even better than the encouraging data we shared this past February. FHA’s objective for … more Financial Assessment Looks Better and Better