REVERSE MORTGAGE UPDATE

Our heartfelt thanks to all of you who responded to our call for messages to your state Assembly representatives to ask for their support of Jeff Dinowitz’s bill that would have brought us a significant step closer to reverse mortgage availability for seniors in housing cooperatives. The legislative session ended without passage of this legislation, in part because the Assembly was concerned about consumer protections. Our plan is to amend the legislation to include these protections and to have our champions reintroduce it in both houses when the new session begins in January.

But now there is a threat to reverse mortgage availability for condominiums. HUD issued a ruling in May stating that it will no longer provide HECMs (its own reverse mortgages) to seniors in condominiums in certain states. While New York is not one of the states in question, FNYHC is nevertheless submitting strong comments in opposition to this curtailment of availability of reverse mortgages.

FNYHC will continue to keep members updated on developments.

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