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Pushing the envelope
Senior Lending Network estimates 30 percent more seniors to qualify for or benefit from reverse mortgagesMortgagePress.comSenior Lending Network, reverse mortgages, World Alliance Financial, HUD, HECM, David Peskin
Senior Lending Network, a program of World Alliance Financial
Corporation, estimates that approximately 30% more seniors can now
qualify for or borrow more through a reverse mortgage due to a rise
in the nationwide lending limit set by the U.S. Department of
Housing and Urban Development (HUD). HUD recently announced that
the HECM (Home Equity Conversion Mortgage) nationwide loan limit
will become $417,000 by a target date of Nov. 1, 2008. Currently,
the size of a HECM depends on the maximum lending limit in a
particular county and only ranges from $200,160 to $362,790. The
actual date of the loan limit increase will not be established
until HUD issues a final policy letter to the industry.
The new increased nationwide lending limit is important and will
help seniors access more of the equity in their homes, providing
significant relief for many seniors in today's turbulent economic
times.
"The HUD announcement is very positive for the reverse mortgage
industry," stated David Peskin, CEO of Senior Lending Network. "For
many seniors the current economic pressures associated with the
economy and the rise in the cost of living is part of their
day-to-day lives. Their retirement funds are worth less, they are
living longer and declining home values continue to take their
toll. A reverse mortgage shifts the focus to the seniors greatest
asset and lets them remain in their home while they access their
equity. The new limit is welcomed in these tough times for new
customers, and also permits existing reverse mortgage holders to
reevaluate whether they can put their equity to even greater use.
It is one way for seniors to buffer the impact of a worsening
economy and declining home values."
For more information, visit www.seniorlendingnetwork.com.
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