Extending Longevity: Reverse Mortgages and Foreclosure, and Required Loss Mitigation

• Overview

Servicing reverse mortgages is distinctly different form servicing "forward" mortgages. And, most reverse mortgage portfolios today are comprised of FHA-insured HECM loans. Failure to properly service, perform loss mitigation and foreclosure on such mortgages can increases losses and impair mortgage insurance claims. This OnDemand Webinar will assist persons responsible for servicing reverse mortgages in identifying proper loss mitigation and foreclosure procedures in order to lessen the impact of such foreclosures while preserving the right to full FHA claims. This program is critical for reverse mortgage servicers to keep up to date with the most recent FHA guidance on HECM servicing issues, and state law developments on foreclosures impacting reverse mortgages.

Authors

Agenda

Overview of Reverse Mortgages

• Demographics, Economics and Markets

• No Credit Underwriting (Yet); No Required Monthly Repayment Obligations of Principal and Interest

• Origination Practices That May Prevent or Reduce Reverse Mortgage Defaults

Reverse Mortgage Maturities and Reasons for Default

• Maturity Events

• Obligations of the Borrower - Taxes, Insurance, Repairs and Property Maintenance

Reverse Mortgage Foreclosure and Loss Mitigation

• Required Reverse Mortgage Loss Mitigation

• Reverse Mortgage Foreclosure