Home Equity Conversion Mortgages for Lenders (HECMs)
The Federal Housing Administration (FHA) published two Mortgagee Letters that provide HECM policy changes and implementation guidance:
- August 29, 2017, Mortgagee Letter 2017-12 announced revised HECM initial and annual Mortgage Insurance Premium (MIP) rates and Principal Limit Factors, effective for HECM case numbers assigned on or after October 2, 2017.
- August 24, 2017, Mortgagee Letter 2017-11 consolidated policy and provided guidance on implementation requirements directly related to servicing functions included in FHA’s January 19, 2017, final rule. The HECM final rule’s servicing requirements become effective for case numbers assigned on or after September 19, 2017.
Origination
Software
- HECM Refinance IMIP Formula: FHAC Release Notes for Lenders
- Instructions for Installing HECM Calculation Software Version 2.5
(use if you have never installed the HECM software) - Instructions for Upgrading HECM Calculation Software Version 2.5
(use if you previously installed the HECM software) - FHA Connection Changes and Processing Instructions for Lenders (September 19, 2017)
- HERMIT System and Resources
Training and Webcasts
Subscribe to FHA INFO Announcements
Subscribe to receive FHA INFO announcements and SF NEWS about Mortgagee Letter issuances, procedure updates, and training & events via email. Research a list of all previous FHA INFO and SF NEWS in the:
FHA INFO ARCHIVE
Reference Materials
- Accessing the 10-Year ICE Swap Rate (ML 2016-16)
- Calculating the Weekly Average From the ICE Swap Rate (ML 2016-16)
- HECM Final Rule - 24 CFR Part (Redline Copy)
- HECM Financial Assessment Update Pre-recorded Webinar (recorded 9/22/16)
- HECM Financial Assessment 9/23/15 Webinar Presentation
- HECM Model Loan Documents
- Current HECM Financial Assessment and Property Charge Guide (case numbers assigned on or after October 3, 2016)
- Previous HECM Financial Assessment and Property Charge Guide (case numbers assigned on or after April 27, 2015 through October 2, 2016)
– Attachment 1: HECM Endorsement List - HECM Financial Assessment and FHA Connection
- HECM Handbook 4235.1
- Mortgagee Approval Handbook 4060.1
- Administration of Insured Home Mortgages 4330.1
- All HECM Mortgagee Letters
- All HUD policy documents and forms
Find Answers
- Policy Inquiries:
– Origination: FHA Resource Center
– Counseling: Housing.Counseling@hud.gov
– Servicing: hecmservicing@novadconsulting.com
– Claims: Foc_Hecm@hud.gov - HERMIT Tech Support:
– Servicing: servicingsupport@hermitsp.com
– Accounting: accountingsupport@hermitsp.com - Subscribe to emails about policies/gudiance
- Ask a question online