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NRMLA vows to keep lobbying HUD and FHA on HECM insurance pricing
The group is seeking lower FHA upfront mortgage insurance premiums for federally insured reverse mortgages, despite Ginnie Mae President Joe Gormley saying HUD is comfortable with the current MIP structure.
NRMLA President Steve Irwin said the trade group will continue lobbying HUD and the FHA to lower the upfront mortgage insurance premium for federally insured reverse mortgages under the HECM program, after remarks from the head of Ginnie Mae. HousingWire reports that the industry wants risk-based pricing restored rather than the current structure.
HousingWire also reports that Ginnie Mae President Joe Gormley said HUD is comfortable with the current mortgage insurance premium structures for FHA single-family home loans and reverse mortgages, and that the agency does not plan to change the premiums in the near term.
The comments have prompted NRMLA and other reverse-mortgage leaders to continue pressing for a revamped pricing approach. HousingWire notes that the remarks came after HUD began seeking feedback nearly a year earlier on the future of the HECM and HECM Mortgage-Backed Securities programs, which have seen activity stall.