While reverse mortgages sometimes make headlines, consumers can rarely find up-to-date information in their favorite newspapers and magazines. To replace the lack of mainstream news, seniors can get the newest information by adhering to a reverse mortgage blog. For individuals who have fallen behind on their favorite reverse mortgage blog, this is actually the latest news that’s the mortgage industry buzzing.
Are Financial Experts Finally Realizing the Full Great things about Reverse Mortgages?
It’s no secret that reverse mortgages have many critics. When Home Equity Conversion Mortgages (HECMs) first became for sale in the late 1980’s, several lenders did adopt some questionable practices. However, as these loans have matured, the Federal Housing Administration (FHA) has tightened their regulations. The times when lenders could make the most of their borrowers are long since over. Unfortunately, it has brought a long time for the to shake its negative reputation.
The good news is that the is finally starting to get the recognition it deserves. While these loans are not supposed to take the place of traditional retirement planning, many esteemed organizations, like the National Council on Aging, now work to educate seniors on these loans.
As many adults are acutely aware, the recent downturn in the economy has impacted retirees’assets and managed to get harder to save lots of for retirement. Articles released by Investment News, an online news source for financial planners, reported that “reverse mortgages is highly recommended as an extremely valuable retirement tool by financial advisers of all types.” While there can be critics, many blog owners are noticing this well-deserved change in attitude.
Reverse Mortgage Blog Owners Discuss Possible New Loan Products
Many blogs will also be reporting that new loan products might be released in upcoming months. Currently, FHA has extended their $625,500 maximum claim limit on HECMs through 2012. Uganda news papers Still, as home values continue to increase, the demand for jumbo propriety loans may also increase. It has reverse mortgage blog owners predicting a new jumbo product will soon be released within the year.
However, people interested in a propriety loan should know about several different things. First, these loans won’t be insured by the federal government. Because these loans are not insured, it is probable that borrowers will soon be required to truly have a lot of equity in their home to qualify. Still, if and when this device is released, it will soon be interesting to see how these loans vary from HECMs.
Another interesting little bit of information predicted in many reverse mortgage blogs is this 1 major lender has proposed the thought of using the HECM Saver as an instrument to be employed by seniors who’re not even entitled to Social Security. While awaiting Social Security benefits, seniors would draw income from a line of credit made available through the HECM Saver. Theoretically, this would give seniors a low-cost way to turn their home equity into a source of income; thus allowing seniors to wait to claim benefits until they reach full retirement age, which will increase their benefits in the future. No matter whether this idea becomes a fact, the constant plans for new services prove that the is one driven by innovation and continued development.Business Read More