Reverse Mortgage Education

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1 Reverse Mortgage Education Preface As people are continually living longer, they must plan financially to make sure their money outlives them, instead of outliving their money. As pension plans get cut down or eliminated and as other expenses arise, seniors are now forced to look at other options available to them. Seniors that either own their home outright or even if they do have a mortgage on the home can look towards a Reverse Mortgage to solve their financial problems. If they currently have a mortgage on their home and would like to get rid of that monthly mortgage payment, a reverse mortgage can do that. Also, if they have paid off or paid down the mortgage enough, they may be able to use the equity in their home as income for the rest of their lives. There are many different options that seniors have when looking at a reverse mortgage. 1

2 Preface The ability for financial professionals to share the knowledge of how a Reverse Mortgage can work in your client s best interest is invaluable This is one tool that many financial professionals come back to time and time again as a tax-free means of creating financial flexibility when other alternatives are not available. Vanguard Funding LLC presents this Professional Learning Series for you to learn the nuances of this specific loan program and for you to become familiar with our group of professionals ready to serve you and your clients. Reverse Mortgage Education How To Use Reverse Mortgages As A Financial Planning Tool 2

3 Mortgagee Letter Many of the examples used in today s class come directly from FHA Mortgagee Letter You can find a copy of this Mortgage Letter at: administration/hudclips/letters/mortgagee In addition you can find ALL Mortgagee Letters. Letter contains the new HECM Financial Assessment Form that will be used starting Jan. 13 th, 2013 Funding for Healthcare or Medical Treatment Long term care is a big risk to most seniors' financial planning for retirement. While 42% of people over the age of 65 require or will require long term health care, neither Medicare nor Medicare supplemental insurance cover the costs of these services-either in your clients home or in a nursing facility. Moreover, most seniors don't have long term care insurance. As a financial planner you could recommend that your clients secure a Reverse Mortgage to help fund a long term care insurance cost or other medical costs. Using a Reverse Mortgage to pay for medical costs and/or insurance can be an important part of asset protection planning for the benefit of you and your clients. 3

4 Other Asset Protection Strategies: Life Insurance You might consider using the proceeds from a Reverse Mortgage to fund a life insurance product. This is a particularly useful if you have built significant home equity. Funding a life insurance policy with a Reverse Mortgage gives your client control over the estate and assures the legacy left retains its value by: Lowering the total estate value subject to taxes: The full value of the home is subject to estate tax, but a Reverse Mortgage against the property reduces its value-lowering applicable estate taxes. The heirs will not owe as much estate tax upon the sale of the home. Furthermore, when the life insurance policy pays the benefit to heirs, they receive the benefit in tax-free dollars. Other Asset Protection Strategies: Life Insurance When the property is sold, any equity over the loan amount would be subject to taxes, but the remainder would still revert to the heirs. However, the unknown nature of the future real estate markets makes this a potentially risky scenario. Purchasing a life insurance policy with Reverse Mortgage funds provides greater control of the estate and legacy. The Money from a Reverse Mortgage can also be used to buy additional life insurance for the heirs that insurance purchase would have been made with tax-free dollars. The larger the premium paid for life insurance coverage would translate into a larger death benefit. 4

5 More Financial Protection Strategies If your client has equity in their home, you as a financial planner can explore how a Reverse Mortgage could be an important component of the estate plan. Take into account that many seniors draw from their 401k if in need of funds. Removing funds from a 401k may equal high tax penalties in some cases. Instead of using investments your client can use the tax free equity in their home. Agenda The Reverse Mortgage Home Equity Conversion Mortgage (HECM) HECM Loan Counseling HECM Property Types Interest Rates Distribution of Proceeds Closing Costs and Fees Reverse Mortgage Myths and Truths Reverse Mortgage Scenarios 5

6 The Reverse Mortgage Company Overview Vanguard Funding LLC are leaders in the FHA refinance mortgage industry. Our commitment to education has helped to increase awareness of reverse mortgage financing options both within the industry and among consumers. 6

7 What Is A Reverse Mortgage? A reverse mortgage enables older homeowners to convert part of the equity in their homes into tax-free money without having to sell the home, give up title, or take on a new monthly mortgage payment. The reverse mortgage is aptly named because the payment stream is reversed. Instead of making monthly payments to a lender, the lender makes payments to the home owner. Home Equity Conversion Mortgage (HECM) All borrowers on title must be 62 or older. The home must be an owner-occupied, 1-4 family residence. Any existing mortgage and liens must be paid off. The borrower must receive mandatory, counseling by a HUD-approved counselor. 7

8 HECM Benefits Independence No Monthly Mortgage Payments Loan Proceeds Are Tax-Free No Pre-Payment Penalty Freedom and Flexibility Peace of Mind HECM vs. Forward HECM vs. Forward Mortgages Income Verification Employment Verification HECM REVERSE Currently Not Required Not Required Forward Mortgage May Be Required May Be Required Credit Worthiness Not Required Required Monthly Mortgage Payments Not Required Required Loan Balance Increases Over Time Decreases Over Time 8

9 HECM REVERSE Forward Mortgage Loan Purpose Purchase / Refinance Purchase/Refinance During the loan HECM REVERSE vs. Forward Mortgages Receive payments from lender Make monthly payments to lender Closing Costs At Closing At the End of the Loan Usually financed as part of the initial loan balance Rising Debt Falling Equity Borrower owes balance, not to exceed the value of the home Usually paid out-ofpocket for purchase and financed for refinance Falling Debt Rising Equity Borrower owes nothing The Federal Housing Administration (FHA) A branch of the Department of Housing and Urban Development (HUD) Doesn t fund loans Acts like an insurance agency for banks that make loans that conform to its standards The HECM is the only Reverse Mortgage insured by the FHA 9

10 How Does FHA Benefit Lenders? FHA Mortgage Insurance safely allows a lender to make a loan to a borrower without fear of incurring a loss due to a declining property value or a payout exceeding the value of the home. How Does FHA Benefit Borrowers? FHA insures borrowers against bank or lender default. In the event of default, they will step in and satisfy the terms of the loan. FHA would continue to make payments to the borrower as required. Stability with a government backed loan! 10

11 The HECM Is A Non-Recourse Loan The home is the only asset which may be used to payoff the loan. The borrower can never owe more than the appraised value of the home at the time of repayment. FHA Mortgage Insurance Premium (MIP) The non-recourse feature is provided by payment of the mortgage insurance premium. This is charged both initially at closing and monthly to the borrower. 11

12 Borrower Responsibilities Pay property taxes Maintain homeowner s insurance Make necessary repairs in accordance with the Repair Rider Maintain the property Failure to fulfill these responsibilities could result in a Maturity Event Maturity Events A maturity event is an event that can result in the mortgage being called due. The borrower has six months following a maturity event to repay the loan. The lender may (at their discretion) grant up to 2, three-month extensions. 12

13 HECM Loan Counseling 13

14 HECM Loan Counseling The borrower must receive counseling before the application is submitted. The lender can take the application but cannot incur costs on the borrower s behalf until a fully executed counseling certificate is in the file. There is a fee for counseling. It is currently $125. HECM Loan Counselors HUD-certified Review the structure and function of the reverse mortgage loan and other options available to the borrower 14

15 Eligible and Ineligible HECM Property Types Eligible and Ineligible HECM Property Types Property Type Eligible Ineligible Single Family Residence 2-4 Units Condos Planned Unit Development (PUD) Manufactured Homes The borrower must occupy one of the units Must meet FHA guidelines Must meet FHA guidelines 15

16 Eligible and Ineligible HECM Property Types Property Type Eligible Ineligible Mixed Use Mobile Homes Commercial usage to be less than 25% of sq. footage Commercial Co-ops Properties w/needed repairs Some restrictions may apply Properties Held In Trust Primary beneficiaries must be eligible borrowers Must be revocable Contingent beneficiaries cannot have any rights to the property before the death of the primary beneficiaries. The beneficiaries must have the right to remain in the home 16

17 Interest Rates Interest Rates: Fixed Rate Mortgages A fixed rate mortgage has an interest rate which remains constant throughout the life of the loan. It offers a sense of certainty for the borrower about how the loan will grow. 17

18 Interest Rates: Adjustable Rate Mortgages An adjustable rate mortgage has an interest rate which changes periodically with market conditions. It transfers the risk and benefit of market changes from the lender to the borrower. Both the HECM Monthly and HECM Annual are adjustable rate mortgages or ARMs. The name of the ARM indicates the adjustment period. Index The index represents the variable in an Adjustable Rate Mortgage (ARM). We can look at past performance of that index to have a sense how it may perform in the future. 18

19 Margin The margin represents a fixed component of the fully indexed rate. The margin will stay constant throughout the life of the loan and is added to the index at each scheduled adjustment period to determine the fully indexed rate. Fully Indexed Rate The sum of the index plus the margin is known as the fully indexed rate. Each month the borrower is assessed interest at the fully indexed rate. The 1 month index = 2.50% The margin = 2.00% +.50% Fully Indexed Rate = 3.00% 19

20 Initial Interest Rate (IR) Represents the start rate at closing 1 month rate plus an acceptable margin Prevailing rate - cannot be locked Established at closing Changes monthly after closing Lifetime cap is 5% above the start rate Expected Interest Rate (EIR) Used for one purpose: to calculate how much money the borrower will receive (PLL - Principal Loan Limit) The margin remains the same for the life of the loan 10 year index rate 20

21 Principal Loan Limit (PLL) The PLL is the amount of money the borrower qualifies for. It is based upon these 3 factors: age of the youngest borrower lesser of the current appraised value or HUD 203 b lending limit (MCA Max Claim Amount) expected interest rate The Principal Limit Lock The EIR (Expected Interest Rate) goes into effect on the date the borrower signs the application Lock period is 120 days from the date the FHA Case # is assigned Better of the EIR from application date or closing date is used to determine the PLL (Principal Loan Limit) at closing 21

22 Maximum Claim Amount (MCA) Lesser of the appraised value or HUD s 203(b) Single Family Lending Limit Currently max claim amounts are the same throughout the United States at $625,500 Maximum Claim Amount (MCA) State 203 (b) Lending Limit Home Value Maximum Claim Amount New York $ 625,500 $ 325,000 $ 325,000 New York $ 625,500 $ 675,000 $ 625,500 New York $ 625,500 $ 325,000 $ 325,000 New York $ 625,500 $ 675,000 $ 625,500 22

23 HECM Interest Rates Index Affects Established Expected Rate 10 Yr LIBOR Benefit amount borrower is eligible for PLL At loan application or closing Initial Rate 1 month LIBOR plus the margin Growth of loan balance Monthly Distribution of Proceeds 23

24 Principal Loan Limit Distribution Any necessary set-asides will be established Any liens against the property will be paid off All settlement charges will be paid The remaining balance of the PLL will be available for the borrower s choice of payment plan (within FHA Guidelines) The Servicing Fee On a Reverse Mortgage, the lender is permitted to charge a monthly servicing fee. It is added to the loan balance every month for the life of the loan. In traditional mortgages, the servicing fee is embedded in the rate so the borrower never sees the actual cost. 24

25 The Servicing Fee Set Aside Portion of the available PLL Virtual money: neither a closing cost, nor an escrow Not available to the borrower HECM Payment Plan Options Payment Plan Option Line of Credit Tenure Modified Tenure Term Modified Term Description Borrower funds are available as needed upon written request. The unused portion grows at the note rate plus ½%. Borrower receives fixed monthly payment for as long as they remain in the home Borrower receives a lower fixed monthly payment and a line of credit for as long as they remain in the home Borrower receives fixed monthly payment for a fixed period or term. X amount a month for Y months Borrower receives a fixed monthly payment for a fixed period or term and a line of credit for as long as they remain in the home Lump Sum Partial Lump Sum Borrowers receive all available funds at closing. Borrowers receive a portion of their available funds at closing. The remaining funds are distributed as one of the other payment plan options. 25

26 Line of Credit Growth Rate Only the unused or available portion will continue to grow LOC (Line of Credit) is the only structure that gives the client access to growth Once the client has used the LOC completely, there will be no more growth and the line closes Annual growth rate = the initial rate plus ½% Monthly growth rate = Annual growth rate 12 Repair Set Aside Required repairs are determined by the Underwriter. Funds for these repairs can be held in a credit line created from the borrower s available principal loan limit (PLL). The repair set aside funds will be released once a compliance inspection report has been received by the Repair Administrator. 26

27 Principal Loan Limit Q: What happens if the entire PLL is used up to cover the set asides, pay all liens, and cover settlement charges? A: If all available funds are disbursed at closing, the borrower will forgo all benefit options other than not having to make a mortgage payment Principal Loan Balance (PLB) The amount used at settlement to pay: liens settlement charges any initial advances to the borrower The principal loan balance begins accruing interest the day after the loan funds 27

28 Principal Loan Balance Growth Once the PLB is established, the balance can grow monthly due to the following factors: Accrued Interest Servicing Fee Payments Monthly MIP Loan advances (Term or Tenure payments) LOC draws Payment Plan Flexibility Should the borrower want to change how their payment plan is structured (for example: tenure to line of credit) after closing, they can do so for a $20 administration fee. The borrower can do this as often as they like. 28

29 Closing Costs and Fees Closing Costs HUD regulates the closing costs we are permitted to charge the borrower. Two main closing costs for Reverse Mortgages: Origination Fee Upfront Mortgage Insurance Premium (UFMIP) Other fees: third party settlement charges 29

30 Origination Fee To determine the Origination fee multiply 2% of the first $200,000 of the Maximum Claim Amount and 1% of each additional $100,000. The maximum allowable Origination fee is $6,000 and the minimum is $2,500. Example: MCA = $300,000. 2% x $200,000 = $4,000. 1% x $100,000 = $1,000. Total Origination = $5,000. Origination Fee Home Value HUD Lending Limit Origination Fee Charged $ 80,000 MCA $625,500 $ 2,500 $ 90,000 MCA $ 350,000 MCA $ 400,000 MCA $ 1,000,000 MCA $625,500 $625,500 $625,500 $625,500 $ 2,500 $ 5,500 $ 6,000 $ 6,000 30

31 MIP Upfront MIP One time fee, charged at closing Monthly MIP 1.25 % annual charge assessed monthly to the PLB MIP Charges as of 9/1/13 Home Value HUD Lending Limit MIP is.50% when borrower takes less than 60% cash and 2.5% of the Max Claim Amount when over 60% MIP Charged at Closing $ 150,000 MCA $ 250,000 MCA $ 350,000 MCA $400,000 MCA $ 650,000 MCA $ 625,500.50% or 2.5% $750 or $3,750 $ 625,500 $ 625,500 $625,500.50% or 2.5% $ 625,500.50% or 2.5% $1,250 or $6,250.50% or 2.5% $1,750 or $8,750.50% or 2.5% $2,000 or $10,000 $3,250 or $16,250 31

32 Other Closing Fees Fees Appraisal Attorney s Fees Credit Report Recording fees Flood cert Survey (FL & TX) Doc Prep (where applicable) Pest Inspection (if applicable) Notary Fee Courier Fees Repair Administration Fee (if applicable) Additional Information 32

33 Title Insurance must be for the maximum claim amount Two liens are created: Lender HUD Each lien will be for 150% of the MCA Second Lien to HUD allows them to easily step in and continue making payments to the borrower in the event of lender default Rescission Period Federal law provides a rescission period. The borrower has the right to cancel the loan without penalty within 3 business days of closing, including Saturdays. The loan proceeds are not paid to the borrower until the end of the rescission period. 33

34 Pre-Payment A borrower may prepay all or part of the outstanding balance at any time without penalty. Repayment in full will terminate the Loan Agreement. The loan is repaid in this order: Accrued MI (including the initial MIP) Accrued service fees Accrued Interest The remaining PLB Myths and Truths 34

35 Myth You must make monthly payments on your Reverse Mortgage Myths and Truths Truth Payment of insurance, taxes, and general upkeep of the home are the only responsibilities of the homeowner. There are never any monthly P&I payments. You can t get a Reverse Mortgage because your house needs too many repairs A reverse mortgage is a great way to get some needed home repairs without increasing monthly payments. The repairs needed to bring the home up to FHA property standards are evaluated by an FHA underwriter and can be paid for by the proceeds of the Reverse Mortgage. More Myths and Truths Myth The lender will own your home Only cash poor or desperate senior citizens can benefit from the Reverse Mortgage My children will be responsible for the repayment of the Reverse Mortgage Truth The borrower retains ownership of the home. The lender does not take control of the title. The lender s interest is limited to the outstanding balance. Even though some seniors may have a greater need than others for the cash or monthly income, the Reverse Mortgage can also be an excellent financial or estate planning tool. The home is the only asset the lender can pursue to repay the PLB. Repayment amount can never exceed the home s value (at the time of repayment), except if the heirs retain the property. 35

36 Medicare and Medicaid How does a reverse Mortgage Impact Medicare Medicaid Questions 36

37 HECM Changes Created September, 2013 HUD Updates Loan Rules To remedy this, HUD policy now requires that FHA-backed reverse mortgages issued on or after August 4, 2014, allow the non-borrowing spouse to remain in the home after the borrower dies (and the loan repayment will be deferred) so long as: the non-borrowing spouse is married to the borrower at the time of the loan closing (and remains married to the borrower for the duration of the borrower's lifetime) their spousal status is disclosed at the time of the closing the non-borrowing spouse is named in the loan documents the non-borrowing spouse establishes legal ownership (or another ongoing legal right to remain in the home) within 90 days of the death of the last surviving borrower, and the non-borrowing spouse meets all of the obligations described in the loan documents. (See HUD Mortgagee Letter ) 37

38 Purpose The U.S. Department of Housing and Urban Development has made several changes to the Home Equity Conversion Mortgage (HECM) program to strengthen the FHA Mutual Mortgage Insurance Fund (MMIF or Fund) and protect the viability of the HECM program. The changes affect the following requirements: Initial disbursement limits New Single Disbursement Lump Sum payment option Initial mortgage insurance premiums Initial mortgage insurance premium calculation for refinance transactions New Principal Limit factors Financial assessment requirements Funding requirements for the payment of property charges based on the financial assessment. Background The 2009 housing and economic recession caused major mortgagor changes that brought additional risks to the Mutual Mortgage Insurance Fund (MMIF), and contributed to higher payouts of insurance claims and increasing numbers of property charge defaults. Mortgagors shifted from choosing adjustable interest rate mortgages to fixed rate mortgages. Instead of receiving their payments over time, or retaining them in a line of credit, they were now opting to draw all funds at the time of loan closing. In addition, younger borrowers with higher levels of mortgage debt entered the program, and were later unable to pay taxes, insurance and property upkeep when those funds were gone. 38

39 Initial Disbursement Limits Effective for all case number assignments on or after September 30, 2013, disbursements at loan closing, and within the first 12 months of closing, CANNOT EXCEED THE GREATER OF: 60% of the Principal Limit, or Mandatory obligations plus 10% of the Principal Limit. This pertains to ALL payment options, including lump sum, term, tenure, line of credit, modified term and modified tenure. Note: Borrowers with mandatory obligations in excess of 60% can still take the additional 10%, as long as disbursements do not exceed the Net Principal Limit or Principal Limit. IMPORTANT: If the borrower takes more than 60% of the Principal Limit, the cost of MIP increases significantly. If the disbursement is 60% or less, MIP is 0.50 of the Principal Limit. It increases to 2.5% if the disbursement exceeds 60%. First 12 Month Disbursement Limit Mandatory obligations and required disbursements reduce the amount of funds available to the borrower during the First 12-Month Disbursement Period. Include the following items in initial MIP calculations and the disbursement limit for the first 12 months: Disbursement to mortgagor at closing. Amount of mandatory obligations. Repair set-aside. Note: Set-asides are deducted from the Principal Limit, and they lower the Net Principal Limit. Tax payments due within 30 to 45 day of closing, per mortgagee specifications. Note: If a new tax bill has not been issued, use the prior year s amount plus 1.2%. Tax and insurance scheduled for payment from the a set-aside or the HECM proceeds within the first 12 months. An amount equal to 10% of the Principal Limit that the mortgagor has opted to have available, and which was not taken at loan closing. IMPORTANT: The servicing fee set-aside is NOT included in the First 12 Month Disbursement Period or the initial MIP calculations. 39

40 Single Lump Sum Disbursements Borrowers who select the lump sum disbursement method MUST take the full lump sum at closing or they will not be able to draw it at a future date. However, they are not required to take the full 10% out at closing. No remaining disbursements will be available throughout the lifetime of the loan. The lump sum disbursement is limited to 60% of the Principal Limit, or mandatory obligations plus 10% of the Principal Limit. This option would most likely appeal to borrowers with higher mandatory obligations. Note: This pertains to both ARM and fixed rate loans. Mortgage Insurance Premium (MIP) Effective for all case number assignments on or after September 30, 2013, HECM Standard and HECM Saver initial mortgage insurance pricing options will no longer be available. HUD will charge an initial mortgage insurance premium (MIP) of 0.50% of the Maximum Claim Amount (MCA) when the sum of the mortgagor s initial disbursement at closing, plus other required or available disbursements during the First 12 Month Disbursement, is 60% or less of the Principal Limit. If the initial disbursement at closing, plus other required or available disbursements during this 12-month period, are GREATER than 60%, HUD will charge an initial MIP of 2.50%. 40

41 Mortgage Insurance Premium (MIP) Whenever the initial disbursement consists of the mandatory obligations plus 10% of the Principal Limit, the borrower must advise the mortgagee of what portion of the 10% he or she wants, and if the funds should be disbursed at closing or during the First 12 Month Disbursement period. Note: Borrowers receive more than 60% of the Principal Limit when they request the full 10% and their mandatory obligations are 51% of Principal Limit or more. If a borrower wishes to do this you MUST advise him or her that the MIP rate increases from 0.50% to 2.5% of the Principal limit when disbursements exceed 60% of the Principal Limit. The mortgagee then calculates the initial MIP based on the amount of funds the borrower elected to have available during the first 12 months. The existing annual MIP rate of 1.25% will continue to be in effect for all HECMs. Mortgage Insurance Premium (MIP) Example 1: Initial Disbursement BELOW 60% Maximum Claim Amount: $200,000 Principal Limit: $100,000 60% of Principal Limit: $60,000 Mandatory Obligations: $20,000 Repair Set-aside: $0 Cash to Mortgagor at Loan Closing: $20,000 Initial Disbursement Limit Amount: $60,000 Disbursement Amount at Closing: $40,000 Initial MIP (MCA multiplied by 0.50%): $1,000 41

42 Mortgage Insurance Premium (MIP) Maximum Claim Amount: $200,000 Principal Limit: $100,000 60% of Principal Limit: $60,000 Mandatory Obligations: $70,000 Repair Set-aside: $1,000 Cash to Mortgagor at Loan Closing: $9,000 Initial Disbursement Limit Amount: $80,000 Disbursement Amount at Closing: $80,000 (includes set-asides and mandatory obligations) Initial MIP (MCA multiplied by 2.50%): $5,000 IMPORTANT: Mandatory obligations between 51% and 60% of the Principal Limit, plus the allowable 10% disbursement, place the disbursement above 60% of the Example Principal 2: Limit. Initial The Disbursement higher MIP ABOVE of 2.50% 60% now applies. Borrowers may prefer to receive a disbursement amount lower than 10% so the MIP is lower. Mortgage Insurance Premium (MIP) Note: On the Single Disbursement Lump Sum Payment Option the mortgagor is limited to a single draw at loan closing for the $70,000 Example 3: Mandatory Obligations of 60% or LESS of the Principal Limit that exceeds the Mandatory Obligations and set-aside. Maximum Claim Amount: $450,000 Principal Limit: $200,000 60% of Principal Limit: $120,000 Mandatory Obligations: $17,000 Repair Set-aside: $33,000 (at loan closing or within the first 12 months) Cash to Mortgagor at Loan Closing: $70,000 Initial Disbursement Limit Amount: $120,000 (includes $17,000 mandatory obligations) Initial MIP (MCA multiplied by 0.50%): $1,000 42

43 Mortgage Insurance Premium (MIP) Example 4: Mandatory Obligations of 60% or MORE of the Principal Limit Maximum Claim Amount: $625,500 Principal Limit: $200,000 60% of Principal Limit: $120,000 Mandatory Obligations: $140,000 Repair Set-aside: $13,000 (at loan closing or within the first 12 months) 10% of Principal Limit: $20,000 60% of Principal Limit: $120,000 Initial Disbursement Limit Amount: $120,000 (includes $140,000 mandatory obligations, $13,000 repair set-aside and $7,000 to mortgagor) Initial MIP (MCA multiplied by 2.50%): $5,000 Credit Standing Effective for case numbers assigned on or after January 13, 2014, mortgagees must complete a financial assessment of all prospective borrowers before loan approval and loan closing. This pertains to all HECM transaction types, including traditional, refinance, and purchase. Mortgagees must assess a potential mortgagor s financial capacity and willingness to comply with mortgage provisions due to an increasing number of tax and hazard insurance defaults by borrowers. 43

44 Contact & Follow Us for Updates! Robert Jayne Vice President Certified Reverse Mortgage Professional (CRMP) Vanguard Funding LLC 300 Garden City Plaza Suite 170 Garden City, NY Direct: Fax: Cell: Office: Ext.3262 NMLS# Click this link to begin pre-qualification: 44

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