The U.S. Department of Housing and Urban Development has introduced new condo rules for reverse mortgages. The Mortgage Letter, outlines updated origination requirement for FHA mortgages on condo units.
"Last month, HUD announced a forthcoming rule designed to make it easier for condo owners to get reverse mortgages and other FHA financing," according to Reverse Mortgage Daily.
"The new rules related to condominiums going into effect next month will expand FHA financing for qualified first-time homebuyers as well as seniors looking to age in place, according to an August press memo released by HUD."
The new rules aim to provide affordable options for seniors who make the decision to age in place. They also look to expand the amount of condominium projects that would gain FHA approval.
To learn more about the new rules and what it means for seniors looking to acquire a reverse mortgage for a condo, click on the image above.