In Reverse News You Can Use to Build Your HECM Business By Thomas A. Barstow IN THIS ISSUE, we look at several current events, including a pot of money—the federal Homeowner Assistance Fund (HAF)—that was created as part of the American Rescue Plan Act to help homeowners who fell behind with their mortgages during the pandemic. Writer Joel Berg outlines how states—each got a piece of the pie—have been getting the money and largely allocating the relief to people with forward mortgages. Helping Reverse Mortgage Borrowers Impacted by COVID (p. 20) explains that efforts are underway to educate decision-makers about why HECM borrowers also might need relief, such as those who fell behind with either taxes or insurance payments during COVID-19. The process has not been easy because of some of the same problems that reverse mortgage companies historically have had in getting people to understand how these complex financial products work. Efforts at expressing the importance of HECMs become even more critical during a crisis, particularly when help is there but new assistance programs still are being created. As we all know, in normal times, your clients often are vulnerable because of their ages, and that situation has been more tenuous for a population most susceptible to COVID-19. Mortgage servicers are on the front lines with customers after a reverse mortgage closes and have been monitoring HAF developments on a state-by-state basis. However, everyone can help, including loan officers who have been originating reverse mortgages before, during and after the pandemic. If they can take the time to learn what their states are doing with HAF, they can be a point of contact for clients while providing service and stability for reverse mortgage products in the long term. At the least, reverse mortgage professionals will demonstrate how the reverse mortgage industry cares about its customers and the communities where they operate. As outlined in previous editions of this magazine, reverse mortgage companies and workers should engage with regulators and elected officials before a crisis to build a foundation of trust for educational groundwork. However, now is as good a time as any to start. People truly might need your help. Advertising and Marketing While NRMLA and other stakeholders have been working with government officials to fine-tune the HECM program for decades, the work can be frustrating because it requires constant diligence. Perhaps no issue is more emblematic of that dynamic than the regulations surrounding marketing and advertising. Earlier this year, we reported on regulatory developments during the Biden administration. In this In Reverse continued on page 3 REVERSE MORTGAGE / SEPTEMBER–OCTOBER 2022 3
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