Reverse Mortgage Magazine Nov/Dec 2022

“Service has remained a top priority, and we have worked closely with our loan officers and partners to continually expedite our turn times,” Macerato says. “As a matter of fact, we’ve had some record-breaking results in both our retail and wholesale channels.” Federal Oversight Like the Trump administration, the Biden administration generally has been supportive of the HECM program, says James “Jay” Wright, a partner at Birmingham, AL-based law firm Bradley and a member of NRMLA’s board of directors. The U.S. Department of Housing and Urban Development (HUD) proposed several tweaks when it presented its budget for fiscal year 2023 earlier this year. One proposal would address limits on foreclosure protections for non-borrowing spouses, an area where HUD described the current law as ambiguous. The department wants to clarify that automatic protections apply only to non-borrowing spouses identified at the time of origination while giving regulators flexibility to extend protections further if needed. HUD also is seeking to mete out shorter suspensions after a lender is found in violation of regulations. Current law calls for a minimum suspension of six months. The agency is seeking to impose sentences as short as one month, which it argues will make the punishments more practical. The six-month sentence is rarely used, as it could put many lenders out of business, HUD says in a document submitted to the U.S. Congress. “Allowing HUD to impose shorter suspensions would pressure lenders to address violations without permanently forcing them out of the program.” Other small changes would address foreclosure notifications and counseling requirements. The department has recommended allowing borrowers to waive counseling for a HECM refinancing if they had refinanced a HECM within the previous five years. The existing waiver applies only to traditional HECM originations. Despite the challenges of 2022, Wright is optimistic for 2023 and beyond. Baby Boomers are sitting on trillions of dollars in untapped equity they will need as they age. And thanks to past reforms, the reverse mortgage industry is in a strong position to take advantage of the demand. “Long term, the outlook for the reverse mortgage industry remains extremely bright,” he says. Financing Seniors’ Independence ServingUtah and Idaho for Over 20Years We opened our doors in 1999 to provide local homeowners and those wishing to be homeowners good quality mortgage loans with no hidden surprises or costs. We pride ourselves on being customer oriented and find loans that are tailor made for our clients. We added the reverse mortgage loan to our great line of product offerings and have been providing the people of Utah and Idaho this loan as another mortgage available to meet whatever financial need arises. We continue to remain committed to our clients’ mortgage financing needs, and our variety of all residential mortgage loan products makes us a great company to add to your network of professionals. FSI Mortgage Independence Square 111 East 5600 South • Suite 102 Murray, UT 84107 • NMLS #4398 www.fsimortgage.net 1-800-808-3066 REVERSE MORTGAGE / NOVEMBER–DECEMBER 2022 23

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