Happy Friday! The weekend is only a few hours away, but before you take off, check out the top reverse mortgage news stories grabbing the attention of RMD readers this past week:
RMS President Ousted in Major Walter Leadership Shake-Up—The president of top-10 industry lender Reverse Mortgage Solutions, Inc. was recently released from the company as part of a larger leadership shake-up at parent company Walter Investment Management Corp. (NYSE: WAC), sources close to the company confirmed.
Why Financial Advisors Must Accept Reverse Mortgages in Retirement Planning—The negative perception surrounding reverse mortgages not only stunts the growth potential for these products to reach a wider consumer audience, but also deters financial planners from recommending the use of home equity for retirement income planning. A recent article published by Investment News discussed why advisors should take another look at using reverse mortgages to support responsible retirement spending.
Industry Veteran Teams With Lender to Launch New Reverse Mortgage Division—Mich.-based Huron Valley Financial is getting serious about expanding its product offerings to include reverse mortgages, so much that the lender has launched its own division to specifically focus on the origination of Home Equity Conversion Mortgages. The company also hired an industry veteran to lead this new endeavor.
HUD Audit Finds Mortgage Servicing Flaws Cost MMI Fund $2.23 Billion—A recent audit conducted by the Office of Inspector General for the Department of Housing and Urban Development revealed that the agency’s various shortcomings in ensuring mortgage servicer compliance has resulted in more than $2 billion in unnecessary costs paid by the Federal Housing Administration’s Mutual Mortgage Insurance fund. The servicing delays reviewed in the audit pertained only to forward FHA loans and HECMs.
Not Even August’s Big Gains Could Shrink the Reverse Mortgage Volume Gap—August proved to be a big month for reverse mortgage volume in both retail and wholesale channels, but the 24% single-month increase wasn’t enough to lessen the gap between this year’s endorsements and 2015’s numbers, according to recent industry data released this week.
Written by Jason Oliva