Can Reverse Mortgages Be Used to Finance CCRCs-Without-Walls?

Several senior living communities across the nation have introduced a continuing care retirement community (CCRC)-without-walls model of care, meaning that seniors can remain in their homes and receive the same continuum of care services they’d get had they moved into a traditional community, using a similar contract structure. While most people entering a traditional CCRC […]

Wells Fargo, Leading Reverse Mortgage Lender Exits Business

Wells Fargo announced it will no longer offer reverse mortgages to customers last week. The decision to close down its retail channel stems from economic uncertainty and restrictions associated with reverse mortgages that make it difficult to determine seniors’ abilities to meet the obligations of homeownership. “Home values are pretty unpredictable right now, and when […]

Reverse Mortgage Counseling Fees To Fall on Seniors

Department of Housing and Urban Development Secretary Shaun Donovan testified before the Senate Banking Committee last week, urging the committee to reintroduce housing counseling funding that was cut as part of the budget deal passed in April. As a result of the funding cuts, the housing counseling expense will fall on seniors looking to take […]

AARP Sues HUD on Behalf of Borrowers Over Reverse Mortgage Program Changes

AARP’s Foundation for Litigation recently filed a lawsuit on behalf of three surviving spouses of reverse mortgage borrowers against the Department of Housing and Urban Development (HUD) for alleged illegal reverse mortgage foreclosure actions.  The suit follows recent complaints from HECM borrowers relating to issues associated with non-borrowing spouses.  The three plaintiffs are represented by […]

Foreclosures, Home Prices and the Effect on Retirement Security

It’s no secret that foreclosures hurt home values in the neighborhood but how much will the stabilization of home prices help retirement planning?  According to a new paper by the Center for Retirement Research at Boston College, elderly households will be facing increased housing distress during the next two years due to declining home values, […]

Reverse Mortgage Volumes Decline 35% in 2010, Will 2011 Be Better?

Reverse mortgages took it on the chin in 2011.  During the year, reverse mortgages volumes have suffered as a result of the continuation of declining home prices, regulatory changes and headline risk associated with high costs and stories where seniors have been taken advantage of as part of the process.  Final numbers released from Reverse […]