March-April 2023 RMM

From the Top and other stakeholders. But what has changed over the past five or so years is that agencies we used to go to with ideas—CFPB, FHA/HUD—are now coming to us and asking, “What do you think?” We meet regularly with the senior leadership at Ginnie Mae, and they’ll ask, “What’s the market look like to you? This is what it looks like to us.” The level of engagement and collaboration has ratcheted up. When I sit in those meetings, I get a real sense of partnership. I think we’ve proven to CFPB, FHA and Ginnie Mae that we are honest brokers of ideas that can help the HECM program, help our seniors and help the agencies better implement and regulate it. They don’t see us as representing a constituency anymore. They see us as something bigger, and that’s a good place to be. We’ve proven ourselves time and time again that we’re a source of honest information. One of the things we do well is that when we go to FHA or other regulators, we go with the facts. We’ve done an analysis. It’s not just what we think, and what we feel, but we back it up with data. If we go to them and give them an idea, give them the facts, support it with data, and then show them why they can do it and how they can implement it, you’ve built a great relationship. You’ve taken a load off their plate. RM: Everybody is hoping the Federal Reserve stops raising rates soon. If we see rates stabilize in 2023, do you see that having an immediate positive impact on the reverse mortgage marketplace? MK: I believe there have been enough rate hikes that now need some time to work their way through the economy. It generally takes somewhere around six months for a rate hike or decrease to work its way through the economy. We’ve had four, so I think we need to give it some time to see how it works. I think it’s going to have its desired effect. If the Fed signaled it was going to pause or stop raising rates, it could have an immediate effect on our industry and allow us to provide more proceeds to the borrower. FHA increasing the 2023 maximum claim amount to $1,089,300—an increase of $118,500 from 2022—will give a little boost to the industry, too. We have to get out of our head that “Oh, things are terrible. My borrower could have gotten so much more money last year.” OK. But last year was last year, and your borrower didn’t get any money last year because they didn’t get a reverse mortgage. Today, we have 26 million households who can qualify for a reverse mortgage. That should be the center of our thought process. If we spend our time figuring out how to access these households, we could still have a pretty decent 2023. Nationwide Full-service title & settlement services. Accurate closings that leave your senior borrowers happy! Experienced Seasoned experts matched to the unique needs of your transaction. Hassle Free Assistance & 1-on-1 training every step of the way. AllegiantReverse.com Toll Free: 844.808.8299 Reverse Done Right. REVERSE MORTGAGE / MARCH–APRIL 2023 13

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