Housing experts, reverse mortgage stakeholders and a few members of Congress met to discuss the future of Home Equity Conversion Mortgages, revealing concerns and making suggestions on improving the program.
The hearing was held before the U.S. House of Representatives Financial Services Subcommittee on Housing, Community Development and Insurance, according to Reverse Mortgage Daily.
"The first piece of proposed legislation, co-sponsored by Rep. Maxine Waters (D-Calif.) and Rep. Denny Heck (D-Wash.), is called the ‘'Preventing Foreclosures on Seniors Act of 2019'’ and aims to revise the HECM program to add safeguards designed to prevent the displacement of homeowners, further bolstering protections for non-borrowing spouses (NBS)," according to the report.
"The second piece, currently unnamed and sponsored by Rep. Clay, acts as a codification of a recommendation from the White House, which would conform the maximum loan limit for reverse mortgages insured by the FHA to be consistent with the area maximum loan limits for FHA-insured mortgages."
One of the big topics at the hearing was protection for consumers. Limiting the number of seniors that would be displaced from their homes was important to those in attendance, prompting a number of suggestions on how to lower that number.
To learn more about the hearing and what was discussed but he parties involved, click on the image above.