Late last year, Ginnie seized the mortgage servicing assets of Reverse Mortgage Funding after the company filed for bankruptcy, citing liquidity issues.
The updated guidance, which will go into effect Jan. 1, notes that housing counseling must be provided by a qualified, independent third party and not by anyone compensated by a mortgage originator or servicer.
The bureau found a four-fold increase in the number of reverse mortgage direct mail advertisements sent to consumers over the past two years compared to 2019 and 2020.
The trade group suggested HUD streamline property valuation data for HECMs through a waterfall of appraisal options that could eliminate the need for a second appraisal in some cases.
Lenders have new obligations to the FHA when they default on making home equity conversion mortgage disbursements, according to a policy finalized this week.
The Mortgage Bankers Association proposed some revisions of its own in response to an FHA proposal to change home equity conversion mortgage disbursements and defaults.