Tag Archives: karen keating

2015 NRMLA Regional Conference, Day One

7 Apr

Tradition Title Agency representatives Karen Keating and Alison Keating met many of our partners at this year’s National Reverse Mortgage Lenders Association Regional Conference in New York.  Here is a recap of the conference topics, a day at a time.

Day One featured an in-depth session on the Financial Assessment that goes into effect for FHA case numbers assigned on or after April 27, 2015.  In 2012, the FHA promised Congress to restore the insurance fund in two ways:  through Financial Assessment (FA) and Tax and Insurance Set-Asides.

Fundamentally, the FA will assess credit history, assess property charge payment history, and calculate residual income.  This will apply to every HECM, every borrower, without exception.  A full assessment will not be required for a non-borrowing spouse unless their residual income is used as a compensating factor.

There was discussion of the use of FA as a sales tool, providing valuable information to borrowers in the decision-making process.  FA can be used to go further than loan qualification and truly understand the applicant’s situation.  In the same way, analysis of a credit report can be used to track spending habits and credit card debt to see where a particular situation is heading.

The panel gave attendees some useful tips, including the use of a checklist and FA worksheet.

The LESA, or Life Expectancy Set-Aside was discussed extensively.  Based upon income and debt, and the predicted cost of living, borrowers must demonstrate that their residual income is sufficient.  If payment history and income fall within acceptable parameters, a LESA may not be required.

If an applicant does not meet standards even with the consideration of extenuating circumstances, a fully-funded LESA is required.  If credit and payment history is satisfactory but income is insufficient, a partially-funded LESA can be prescribed, where the mortgagor sets aside funds to be provided to the borrower periodically for the payment of property charges.

LESA charges include real estate taxes, homeowners insurance and flood insurance.

It was strongly recommended to read the FA handbook – more than once if possible – to fully understand FA.  You can download the pdf file here:

http://portal.hud.gov/hudportal/documents/huddoc?id=14-22ml-atch2.pdf

 

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From the NRMLA Weekly Report

14 May

CRMP Courses Being Taught by NY Title Company

Tradition Title Agency is teaching three courses at its offices on May 22 at 9 a.m. that have been approved for CRMP credits. Company president Karen Keating is currently the only title insurance executive to be awarded the CRMP designation.
To receive the credits, you must originate reverse mortgages in New York state, because the topics being discussed apply specifically to that state’s laws.
The courses are:

  • Power of Attorney and Life Estate Basics for the Reverse Mortgage Transaction  (1 credit)
  • Trust Basics for the Reverse Mortgage Transaction (1 credit)
  • Understanding a Title Report (1 credit)

To get more information, please contact Kim Kaich, at 631-328-4410 or email at kkaich@traditionta.com.

from the latest issue
© 2008–2012 National Reverse Mortgage Lenders Association. All Rights reserved

FROM FRIDAY’S NRMLA NEWSLETTER:

21 Nov

CRMP Courses Being Taught in New York
Tradition Title Agency will be teaching three courses at its offices on December 6 that have been approved for CRMP credits. Company president Karen Keating is currently the only title insurance executive to be awarded the CRMP designation.

To receive the credits, you must originate reverse mortgages in New York state, because the topics being discussed apply specifically to that state’s laws.

The courses are:

  • Power of Attorney and Life Estate Basics for the Reverse Mortgage Transaction  (1 credit)
  • Trust Basics for the Reverse Mortgage Transaction (1 credit)
  • Understanding a Title Report (1 credit)

To get more information, please contact Kim Kaich, at 631-328-4410 or via email at kkaich@traditionta.com.

House Financial Services Chairman Asks Fed to Delay LO Compensation Rule

16 Mar
Ben Bernanke (lower-right), Chairman of the Fe...

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from an article by John Yedinak Published in NRMLA News March 15th, 2011

 Chairman of the House Financial Services Committee, Spencer Bachus (R-Ala.), sent a letter to the Federal Reserve on Tuesday, urging the agency to delay its loan originator compensation rule, which is scheduled to go into effect April 1, 2011.

“There have been complaints among numerous stakeholders that the final regulation is intentionally vague, that the Board has refused to provide formal guidance, and that different members of the Board staff have offered differing interpretation of its meaning,” said Chairman Bachus. In the letter, which was also signed by 31 other members of the House, the Chairman said that allowing additional time for implementation would help to ensure that the final rule accomplishes the Fed’s goals while eliminating potential misunderstanding or confusion for all interested stakeholders.

“We recommend that the Board delay implementation of the final rule and provide written guidance to facilitate compliance by affected entities,” said Bachus. Mortgage trade groups have requested that the Fed delay the rule, but as of yet, the Fed hasn’t lead anyone to believe it will push back the implementation date.

Both the National Association of Mortgage Brokers and the National Association of Independent Housing Professionals have filed suit against the Fed, saying the rule could cause devastating and irreparable harm to small business mortgage brokers.

Tradition Title Agency offers special assistance to Reverse Mortgage LOs

14 Dec
City flag of New Orleans, Louisiana, USA

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Last month owner Karen Keating attended the NRMLA (National Reverse Mortgage Lender’s Association) 2010 ANNUAL MEETING & EXPO in New Orleans and picked up some valuable information relevant to reverse mortgages.

Interestingly, the demographic for these loans is shifting, from what was at one time primarily a 72- year-old widow, for example, to an active adult couple in their sixties or single male borrower. 

Karen is happy to pass on some of the other information that was disseminated, including specifics on the new HECM Saver and what constitutes qualifying funds for a HECM for purchase.  Contact her at kkeating@traditionta.com to find out how Tradition Title Agency assists our reverse mortgage LO partners.

We look forward to working with new reverse mortgage LOs in 2011!