Administration’s FY19 Budget Praises HECM
President Trump praises reverse mortgages: President Trump released a Fiscal Year 2019 budget on Tuesday that expressed support for HECM and the role it plays improving seniors’ lives, highlighted recent changes that strengthened the program, and hinted that further refinements may be forthcoming.
The president’s proposed budget is largely ceremonial – just last week Congress approved a spending plan that keeps the government running for the next two years – but it still offers a blueprint of changes that the administration would like to see enacted. This includes a permanent removal of the cap on the aggregate number of reverse mortgages that FHA can insure and protections for non-borrowing spouses from being immediately foreclosed on.
The administration commented that “the HECM program fills a special niche in the national mortgage market and offers critical opportunities for the nation’s seniors to utilize their own assets and resources to preserve their quality of life.”
The Trump administration also heralded recent changes that have strengthened and enhanced the HECM program. “These changes have included limiting upfront draws, changes to the mortgage insurance premium structure to encourage lower initial draws and a shift to adjustable rate HECMs which encourage borrowers to access funds as they need them, preserving equity to support them over time,” the budget commented.
If you’re interested in using a reverse mortgage to improve your life, contact Steve today at: (719) 434-3919. He’ll talk to you personally. Call today!
