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1. 

   The_Cynic

   August 9, 2018 at 11:32 pm

   The lower the drop in monthly endorsements, the more it seems we get the same admonishing to press the flesh.That is not wrong but there comes a point where most break down. We are seeing that far too often.

   The HECM needs better structure with a result that creates little (to no) projected loss for the cohort of HECMs endorsed in a fiscal year. Until that can be achieved, expect endorsement volume disruption due to HUD changes to HECMs in the years to come.

   NRMLA claims that it has presented the changes to do that earlier this summer. As long as there are HECM lenders, we will always hear about a brighter future with little substance to back it up.

   Do not misunderstand, for those of us still in the industry hard work pays off but not nearly as well as in past years. Shannon is presenting the things that work now. NRMLA is speaking to what it hopes will cause the actuaries and the folks at HUD to arrive at better projected conclusions for outcome of the fiscal 2019 book of business.

   Yet without a reworking of the HECM structure all we will have is a bandaged HECM that will result in relatively higher and lower HECM volume in future years.

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