Yesterday, Congress passed the continuing resolution we discussed yesterday, extending the HECM loan limit through the 2010 fiscal year. The continuing resolution is now headed for the President’s signature, which it is expected to receive. The continuing resolution means that the reverse mortgage loan limit will remain at $625,500. The change reduces uncertainty about the future of the loan limits for HECM reverse mortgages. As mentioned yesterday, the continuing resolution also includes jumbo conforming loans and conforming loans, two kinds of forward mortgages.
Posts Tagged ‘jumbo conforming loans’
Breaking News: HECM Loan Limit Extended through 2010
Friday, October 30th, 2009Appropriations Bill to Extend Reverse Mortgage Limits Up for Vote in House and Senate
Thursday, October 29th, 2009
An appropriations bill has been proposed that will extend the FHA reverse mortgage limits until the end of 2010. The current limit of $625,500 is currently set to expire at the end of the year unless new appropriations are made. The appropriations bill still needs to pass the House of Representatives and the Senate. The extensions would also apply to Jumbo Conforming Loans and Conforming Loans, two kinds of forward or conventional mortgages.
Many in the industry appear to be hopeful that the bill will be passed before the limits expire. It is probably too early to become extremely concerned about the expiring limits, but with the bill needing to pass through both houses of Congress, it is something to keep an eye on.
