Relevant:
- Appropriation for reverse mortgage program unlikely says HUD official
- Are You Overestimating Your Ability to Access Your Own Money in Retirement? | Mandelman Matters
- Reverse Mortgage Program Needed Now More Than Ever Says FHA Commissioner
- Revolving Door of FHA Leadership Continues as Carol Galante is Named Acting Commissioner
- FHA Constricts Cash Withdraws on Reverse Mortgages
2013-09-12 — ml-implode.com
"The President's budget projects that FHA may need a $943 million credit from the U.S. Treasury in October to make certain sufficient reserves are on hand today to cover projected losses over the next 30-years. This is not a certainty and FHA is taking every appropriate action to reduce the likelihood that such assistance is needed."
So, what's going on here? Why is the Federal Housing Administration ("FHA") projected to lose so much money on its insuring of reverse mortgages?
The overall answer is simple... it's just another outcome of the severe decline in U.S. home values, which began during the summer of 2006. You see, one of the key benefits of HUD's Home Equity Conversion Mortgage ("HECM"), is that they are "non-recourse" loans.''
source article |
permalink |
discuss |
subscribe by:
|
RSS |
email 
Comments: Be the first to add a comment
add a comment | go to forum thread
Note: Comments may take a few minutes to show up on this page. If you go to the forum thread, however, you can see them immediately.