Wednesday, January 2, 2013

FHA to continue offering Reverse Mortgages

The Federal Housing Administration will likely continue to offer reverse mortgages despite talk of program changes due to FHA’s financial position, writes a Sterne Agee research note published last week.
“We do not believe Congress is going to let the [FHA] kill reverse mortgages and incur the rage of the AARP,” the report states in response to the announcement by FHA that it will make changes to its reverse mortgage program including putting a hold on the fixed-rate full-draw product.