HECM Cap Suspended

12 Mar

The House of Representatives passed a continuing resolution last week to suspend the cap on the number of reverse mortgages insured by the FHA.  This suspension is through the end of the Fiscal Year, or September 30, 2013.

The cap is currently set at 275,000 loans.  It has been suspended several times in the past 5 years.  The cap has been raised from 2,500 loans in 1990 to 25,000 loans by the end of 1995. Subsequent raises of the cap led to its current level, set in 2006.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: