Comments on: Lower HECM Origination Fees In Proposed Senate Bill http://www.bestreversemortgage.com/reverse-mortgage/lower-hecm-origination-fees-in-proposed-senate-bill/ The Unofficial Guide to Reverse Mortgages Tue, 06 Jan 2009 15:35:52 +0000 http://wordpress.org/?v=2.6 By: Raymond Denton http://www.bestreversemortgage.com/reverse-mortgage/lower-hecm-origination-fees-in-proposed-senate-bill/#comment-7569 Raymond Denton Mon, 23 Jun 2008 15:30:38 +0000 http://www.bestreversemortgage.com/reverse-mortgage/lower-hecm-origination-fees-in-proposed-senate-bill/#comment-7569 >>what about lowering reverse mortgage insurance premium? I've had the same question for a while. The high premium made sense when the HECM was first introduced, because we didn't know the long term effect of the "non-recourse" nature of the program. But now we've got lots of history behind us and the government has achived a hugh amount of cash from the insurance premiums. Why isn't anybody talking about finally lowering them so they're reasonable for homeowners? The fees are just too high for HECM's and it doesn't make sense for HUD to continue to charge the high premiums anymore. It boggles my mind. >>what about lowering reverse mortgage insurance premium?

I’ve had the same question for a while. The high premium made sense when the HECM was first introduced, because we didn’t know the long term effect of the “non-recourse” nature of the program. But now we’ve got lots of history behind us and the government has achived a hugh amount of cash from the insurance premiums. Why isn’t anybody talking about finally lowering them so they’re reasonable for homeowners? The fees are just too high for HECM’s and it doesn’t make sense for HUD to continue to charge the high premiums anymore. It boggles my mind.

]]> By: JRB http://www.bestreversemortgage.com/reverse-mortgage/lower-hecm-origination-fees-in-proposed-senate-bill/#comment-7517 JRB Fri, 20 Jun 2008 05:00:53 +0000 http://www.bestreversemortgage.com/reverse-mortgage/lower-hecm-origination-fees-in-proposed-senate-bill/#comment-7517 Don't get too excited about higher limits for reverse mortgages or the prospect of lower origination fees enticing fence-sitting prospects to apply now. The FHA Modernization bill will never pass. Even though the Senate version of the legislation is more conservative than the House version, the President announced today that he would veto the Senate version if it comes to his desk. And Barney Frank, who's shepherding the House version, says the House will want more liberal bells and whistles than the Senate is offering. Bottom line: no agreement will be reached before the 4th of July recess and when Congress comes back the political season will be fully engaged and nothing will pass the rest of the year. The HECM limit will stay at $362,790 and there will be a few limited jumbo offerings available until a year from now when both houses of Congress and the White House are all controlled by the same party. Then a lot of legislation will pass. You may like what passes or you may not - but the gridlock in Washington will end. Don’t get too excited about higher limits for reverse mortgages or the prospect of lower origination fees enticing fence-sitting prospects to apply now. The FHA Modernization bill will never pass. Even though the Senate version of the legislation is more conservative than the House version, the President announced today that he would veto the Senate version if it comes to his desk. And Barney Frank, who’s shepherding the House version, says the House will want more liberal bells and whistles than the Senate is offering. Bottom line: no agreement will be reached before the 4th of July recess and when Congress comes back the political season will be fully engaged and nothing will pass the rest of the year. The HECM limit will stay at $362,790 and there will be a few limited jumbo offerings available until a year from now when both houses of Congress and the White House are all controlled by the same party. Then a lot of legislation will pass. You may like what passes or you may not - but the gridlock in Washington will end.

]]> By: J. R. STEVENS http://www.bestreversemortgage.com/reverse-mortgage/lower-hecm-origination-fees-in-proposed-senate-bill/#comment-7508 J. R. STEVENS Fri, 20 Jun 2008 01:07:37 +0000 http://www.bestreversemortgage.com/reverse-mortgage/lower-hecm-origination-fees-in-proposed-senate-bill/#comment-7508 I have a question that my RM counselor could not answer. Since mortgage insurance is now tax deductible for forward mortgages, is it the same for RMs? Itemizing deductions has so far been a plus for me to lower the tax bite. I have a question that my RM counselor could not answer.
Since mortgage insurance is now tax deductible for forward mortgages, is it the same for RMs?
Itemizing deductions has so far been a plus for me to lower the tax bite.

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