HECM Credit Line Growth Could Slow Substantially Under New Rules
Wade D. Pfau
Since HUD’s reverse mortgage rule changes took effect October 2, Home Equity Conversion Mortgage experts and researchers have struggled to get a clear picture on what they might mean for the loan and its use as a retirement product.
But one trend is emerging: New principal limit factors and annual insurance premiums will result in slower growth for the line of credit (LOC) option, a popular tool in some borrowers’ retirement strategies.
Reverse Mortgage Daily, "HECM Credit Line Growth Could Slow Substantially Under New Rules" (2017). In the News. 2518.