HUD/FHA Reverse Mortgage Guide
Included in your reverse mortgage guide:
- 28 Page FHA Reverse Mortgage Guide. Gain complete understanding of the reverse mortgage.
- How to Avoid Five Costly Mistakes. Learn to easily avoid these pitfalls and save thousands in your home’s equity.
- Reasons Not to Get a Reverse Mortgage. Learn the three reasons avoiding the reverse mortgage may be the correct choice.
- Four Cash Out Options and which may work best for you to maximize your financial future.
- 7 Myths debunked. Get the right information – not misinformation.
- How benefits of program may be shrinking soon…
- New! Bonus Informational Kit Lists Typical Costs and Fees. Now included with your guide, along with 9 important questions to ask your lender.
This website is used for the primary purpose of educating those seeking information regarding the reverse mortgage. Obtaining a reverse mortgage is a big decision in one’s life and getting the proper balanced education prior to that decision is of the utmost importance. After receiving your reverse mortgage guide, our system will automatically send you a series of 15 educational emails. Thereafter, you will receive no more correspondence from us unless you sign up for our reverse mortgage newsletter, in which case you will receive the email newsletter once per month. Your personal information will not be sold or shared with any other company.
What is FHA and why is it important to the mortgage industry? The Federal Housing Administration (FHA) was established in 1934 to facilitate homeownership in the United States during the depression of the 1930’s. Its primary role was and is to insure FHA approved mortgage loans, protecting lenders from potential losses. With the backing of this governmental agency lenders can more confidently loan money in cases that, without this backing, the lender would not normally consider.
Traditionally, FHA insured mortgages were obtained as a low down payment option for first time homebuyers and others with little cash for a down payment. Once considered the ugly sister to the more popular conventional mortgage products, the number of new FHA insured mortgage loans have surged dramatically since the financial collapse of 2008.
What is an FHA insured reverse mortgage? In 1988, President Reagan signed the FHA Reverse Mortgage Bill into law which placed FHA, an insuring and regulatory body, in the reverse mortgage industry. Since 1988, FHA has insured over 1,000,000 reverse mortgages and FHA reverse mortgages account for at least 98% of all reverse mortgages in the U.S.
Very much like regular forward mortgages, FHA insures reverse mortgage lenders against foreclosure losses, thereby opening up the market to more possible reverse mortgage borrowers than would normally exist without FHA involvement.
Furthermore, acting as the regulatory body, FHA sets the rules for the entire industry and actively and prodigiously audits FHA approved lenders for compliance reasons.
At least 10% of all FHA loans are eventually audited by FHA for compliance purposes. Those lenders failing to comply with the set rules are subject to heavy fines and, if problems persist, a lender can be stripped of its FHA approved status. For most lenders, the latter penalty is tantamount to expulsion from the mortgage industry.
Phone: (855) 469-7383. Ext. 802 • Fax: (972) 332-4135
GenEquity Mortgage • 6060 N. Central Expwy. Ste. 500 • Dallas, TX 75206
NMLS #773830 | Corporate NMLS #2236
State of Texas Disclosures:
GenEquity Mortgage is licensed under the laws of the state of Texas and by State law is subject to regulatory oversight by the Texas Department of Savings and Mortgage Lending. Consumers wishing to file a complaint against a company or a residential mortgage loan originator should complete and send a complaint form to the Texas Department of Savings and Mortgage Lending, 2601 North Lamar, Suite 201, Austin, Texas 78705. Complaint forms and instructions may be obtained from the department’s website at www.sml.texas.gov. A toll-free consumer hotline is available at 1-877-276-5550 .
The Department maintains a Recovery Fund to make payments of certain actual out of pocket damages sustained by borrowers caused by the acts of licensed residential mortgage loan originators. A written application for reimbursement from the recovery fund must be filed with and investigated by the department prior to the payment of a claim. For more information about the recovery fund, please consult the deparment’s website at www.sml.texas.gov .
This information is not from HUD or FHA and was not approved by HUD or any government agency.
GenEquity Mortgage is licensed in the following states: Arkansas, California, Colorado, Florida, Georgia, Illinois, Indiana, Kansas, Louisiana, Minnesota, New Jersey, North Carolina, Pennsylvania, South Carolina, Tennessee, Texas, Virginia, Washington and Wisconsin.