Disqus - Latest Comments for QuanAdora

Re: No Need to Go Overboard With New Reverse Mortgage Underwriting, NRMLA Says

QuanAdora — Wed, 14 Dec 2011 17:06:45 -0000

Hi James,
It is nice to hear from you. I appreciate your response to my overview,while I will stick to my reading of what transpired between HUD,FHA and the two major lenders who vacated the market::Bank of America and Wells Fargo .
As of JUly,2011,the delinquency rate for all HECM' was right at 8.2% of the total loans outstanding. I am not privy as to the conversations that took place between the two lenders and FHA,however certain sources have reported that FHA was trying to leave those loans dangling with the lenders. As a fast summery of the events that followed is both lenders decided Reverse Mortgages were not a significant contributor to their profitable operations. So they quit. I am certain that some of their thoughts were : Do we want to be tainted by a reputation of a Lender who forecloses on elderly Senior Homeowners? As we know, FHA recanted,so where the soul saving solutions lies has not appeared in my line of vision.
I do not want to spend your valuable input,by rambling,so will conclude by saying, I have yet to see a workable solution to the need for escrowing T&I. I certainly feel that some plan has to evolve. The last number ,I am aware of ,is approximately 46,000 delinquent T&I's as of July, 2011.

Thanks for your guidance in helping America's Seniors.

Re: No Need to Go Overboard With New Reverse Mortgage Underwriting, NRMLA Says

QuanAdora — Sat, 10 Dec 2011 22:05:45 -0000

Hi James,
It is so nice of you to forward a reply to my reaction of the escrow set aside. I read your participating articles and enjoy immensely your insight to this opportunity for equity holders of positive numbers to avail themselves of financial solutions to independent living.
My concern ,at present, is how can financial institutions factor workable escrows for T&I ,when the majority of HECM funding is currently happening at fixed interest? Question? Will the Seniors set aside enough funds to service T& I and not fall into the stultifying trap of no return.?

With interest earned for money deposited in most banks today, approaching zero, it is not a long reach to forecast, relatives or friends whom with good intent offer a profitable solution:::if you will loan me ,name your figure} I will pay you X percent per annum.
Due to totally unpredictable circumstances converging upon the unsuspecting, repayment of principal seems so far away and perhaps, servicing of interest may have to be postponed for an indefinite period of time.
Perhaps, Met Life is on the right track,by projecting ability to service T&I as a pre qualifier for the (HECM) loan. I have read reports that about 7% of all HECM loans are in default due to non payment or underpayment of Real Estate Taxes. I fail to believe that much ,if any,is due to delinquent Insurance Payments.
What was the shouting match between (HUD} and Bank of America and Wells Fargo about? Who has the Moxie to serve foreclosure and eviction notices to Seniors in their late 80? And if you do, you still are stuck with tainted paper,that is not marketable.
I am for any solution that addresses the concerns of Senior Homeowners.The program today for (HECM) loans is the best it has ever been, in my opinion. I feel certain it will continue to be an Oasis in the middle of Desert.
Thanks for caring,it is people like you who care about America's Seniors,
Respectfully , Bob LaFay

Re: No Need to Go Overboard With New Reverse Mortgage Underwriting, NRMLA Says

QuanAdora — Tue, 06 Dec 2011 17:58:44 -0000

Hi John,
Your upfront escrow account to service T&I is the best plan of all
I have seen. Every homeowner is use to the PITI method of repayment of a forward mortgage.Seems like an easy and likely
most welcomed solution for all concerned,senior homeowners and
lenders. Of course there is no monthly servicing of P&I.

Re: FHA Suspends Allied Mortgage Corp., Cracks Down on Branch Violations

QuanAdora — Wed, 02 Nov 2011 20:24:27 -0000

We all have to conduct our profession with utmost integrity. If FHA says no
to a particular path : Then it means exactly what their language indicates.

Re: Leaked Wells Fargo Email Provides More Info on Reverse Mortgage Exit

QuanAdora — Wed, 22 Jun 2011 22:49:15 -0000

Hi James ,
It is very nice of you to take time to respond to my observation of the Clouds hanging over the Reverse Mortgage programs. Yes, I am
aware of the tax deduction liability issues. Thanks for focusing my attention to that aspect of the code. I appreciate it.

I feel the (HECM) program will continue to serve admirably for Seniors with adequate equity in their homes . My unsupported view is
a myriad of so called Sandwich or Baby Boomers do not possess the equity-valuation of their homes. It is pointless to keep appealing
to this group with a magic wand to upright their upside down position in their homes.

The emphasis has to be to the somewhat older Senior Homeowners, of which there are many,to consider their equities and corresponding
abilities to utilize a future with potential to achieve Net Mortgage Relief.
The TV blitz seems to focus on an unattainable blitz of promising unobtainable net mortgage relief.
Thanks for taking your time to correspond with me. I appreciate your time and knowledge. I read you every day.Great insight.
My Very Best Regards,Bob LaFay

Re: Leaked Wells Fargo Email Provides More Info on Reverse Mortgage Exit

QuanAdora — Mon, 20 Jun 2011 21:45:23 -0000

It could be Wells Fargo suddenly realized that a major movement in the
younger seniors,aka Baby Boomers( a term not embraced by many seniors
in that age group]has taken place over the past four or more years.

It is the wide spread use of Home Equity Loans and excessive credit cards that get reduced by periodic pay down or payoff with the Home Equity Loan,which
just as an after thought has been and continues to be Income Tax Deductible.

My summary evaluation is a basic factor of financial life,no matter where one
lives is "There is no substitute for EQUITY. With average available funding
of (HECM) for Senior Homeowners (age 62) available today running atl
around 40 % of Appraised Value, it leaves little room for financial relief,if
the encumbrances surpass the loan availability.

I concur there is a great future in FHA (HECM) for seniors, whom possess
two immutable profile factors(one is advanced age and secondly adequate
equity in the subject property.

Bob LaFay, Reverse Mortgage Consultant

Re: Does the U.S. Need a Reverse Mortgage For Younger Borrowers?

QuanAdora — Thu, 16 Jun 2011 19:02:25 -0000

Practically speaking, no amount of bottom fishing is going to increase
HECM applications,without an adequate equity position.
Bob LaFay,Reverse Mortgage Consultant

Re: Senator Introduces Bill to Cut All HUD Funding

QuanAdora — Thu, 27 Jan 2011 17:44:37 -0000

As the long shadow of the evening clouds cause us all to ask the same
rhetorical question ,day by day, where will we be able to sleep tonight,millions of homeowners are relieved of heart as FHA has
provided the answer. Here is your home.
If we all had the income stream of Dr. Paul, I suppose it would never
enter our minds

Re: Rising rates and the impact on reverse mortgage proceeds

QuanAdora — Mon, 17 Jan 2011 17:16:58 -0000

We will give FHA applause for trying to untangle the (HECM) conundrum.
Critical analysis cast a shadow of gloom over the Saver Program. Interest rates are reportable higher, which translates into a cloud of reduced
funding. Likely , not what the market needs. Concept rates A for trying:
the results are yet to be related to Senior Homeowners acceptance.

Re: Are Reverse Mortgage Pricing Changes Confusing Consumers?

QuanAdora — Tue, 27 Apr 2010 17:02:51 -0000

You just have to love the changes. It is the best break Seniors have had since
the inception of (HECM) Anything that benefits the end user is good news.
Bob LaFay Reverse Mortgage Consultant

Re: Bank of America Paying Half of MIP on Fixed Rate Reverse Mortgages

QuanAdora — Fri, 16 Apr 2010 15:23:22 -0000

Get's one to wonder who will come up with a
No Closing Cost FHA (HECM) plan. Hard to figure a down side for
Senior Homeowners. Bob LaFay Reverse Mortgage Counselor

Re: Reverse mortgage T&I defaults about to be addressed by HUD?

QuanAdora — Mon, 01 Mar 2010 14:55:10 -0000

Currently, the choice of Seniors obtaining Reverse Mortgages has been
to select fixed interest. All available funds are paid out at closing. My
question is how do we deal with the ongoing T&I Reserve to insure future
payment. Bob LaFay, Reverse Mortgage Consultant

Re: FHA to Increase MIP and Cut Principal Limit for Reverse Mortgage Product

QuanAdora — Wed, 03 Feb 2010 23:49:17 -0000

Hi James,
Thank you kindly for the explanation. It would be greatly appreciated to get a national news release explaining the procedure. It would help to
quell the resentment from those of us who did not see it that way. I am a strong advocate of FHA and the HECM program.Theirs is the only
viable survivor of the 20 year experiment with Reverse Mortgages. I feel it is significant that several other countries around the World are
doing all they can to emulate FHA 's HECM. Again, thanks for the input. It is kind of you. Bob LaFay Reverse Mortgage Consultant

Re: FHA to Increase MIP and Cut Principal Limit for Reverse Mortgage Product

QuanAdora — Wed, 03 Feb 2010 20:56:36 -0000

Hi,
I am delighted to hear the funds will find their way into the MIP reserves. That makes the current considerations more rational. It is great news.
As an alternative to what is being discussed, why could we not reduce the up front MIP by 1%: charging 1% of appraised value and adjust the monthly MIP to 1%,just as a trail to see if it would alleviate the shortage of reserves. Funding decrease will impact younger seniors, bringing total up front
availability to just a fraction over 40 % of FMV. Seniors more advanced in age will still have substantial funding, especially those in their late 70' s on up.
I sincerely appreciate your response. Bob LaFay,Reverse Mortgage Counsultant

Re: FHA to Increase MIP and Cut Principal Limit for Reverse Mortgage Product

QuanAdora — Wed, 03 Feb 2010 15:19:05 -0000

Since they are looking for an equalizer, why not return all of the MIP
premiums originated by HECM over the eight year period 2002 to 2008
to the HECM fund. Nearly all of the premiums collected were siphoned off
and used as general tax revenues, which of course, has been spent long ago.
With Cost of Living Adjustments frozen in place at 0 % for the next two years and now this ,it appears the veneration of Senior Americans has
been turned into a war of vengeance on Senior Americans.
It is estimated that 10 million Seniors own their homes free and clear.
It is the greatest source of solid assets in the country.
Why not extend an invitation to President Obama to attend a one hour private session overview to portrait the stimulus multiplier of the HECM program.
It pumps money into the economy that likely, would be frozen in place without it.
The unemployment rate will take a quantum jump upward if this ill conceived plan is implemented.
Bob LaFay, Reverse Mortgage Consultant

Re: Got Reverse? Industry Needs to Deliver Effective PR Campaign Now

QuanAdora — Thu, 28 Jan 2010 15:19:40 -0000

Our PR message for FHA (HECM) has to be short and open ended.
"A Reverse Mortgage for Seniors, might not do you a bit of good.
On the other hand, it could be the road to a worry free future"
It cost nothing to find out if it is for you.

Trying to answer the critics in great detail is a doomed path to failure.
Bob LaFay, Reverse Mortgage Consultant

Re: The Reverse Review | Daily Reverse Mortgage News | PASS ON EQUITY BEFORE YOU DIE - Advice to For Reverse Mortgage Custmomers

QuanAdora — Wed, 27 Jan 2010 15:03:58 -0000

One of Harlan' s points is a real attention grabber : why not capture today's
equity value today and consider a tax free distribution to heirs while they
are still relatively young. A living legacy is a concept that is gaining acceptance.
This is the type article the National Press should pick up and run in their
Sunday editions. Nice presentation Harlan. Bob LaFay, Reverse Mortgage
Consultant.

Re: WAPO: Reverse Mortgage Market Has No Resemblance to Subprime Marketplace

QuanAdora — Sat, 23 Jan 2010 15:23:32 -0000

When the HECM program was first set up in 1989,the over riding concern
at HUD was family members of Seniors taking out a Reverse Mortgage
would object and they worried about the reaction.
Every poll taken by AARP, Reverse Mortgage Lenders and governmental
agencies have recorded strong, almost universal approval by family members.
HECM is the balm of comfort for many Seniors who desperately want to
provide for themselves. Along with Social Security and Medicare, HECM
goes a long way to help people sustain themselves by employing an
imaginative redistribution of their own wealth. Bob LaFay
Reverse Mortgage Consultant

Re: Testimony of Peter H. Bell, President

QuanAdora — Thu, 08 Oct 2009 18:38:18 -0000

High 5's to Peter Bell. This is a comprehensive overview of FHA's (HECM)
Reverse Mortgage program, which he accurately portraits as the only
viable RM available today. It embodies all of the safeguards for seniors
in America. His suggestion for adjusting the (MIP) premiums is an imaginative
move which will benefit all parties. Great job Peter. Bob LaFay,Reverse Mortgage Consultant

Re: NRMLA Questions Validity of Consumer Reports Reverse Mortgage Investigation

QuanAdora — Thu, 03 Sep 2009 16:30:00 -0000

Marty Bell deserves industry recognition for a reasonable and coherent
overview of a national response to a societal fact of need. The FHA (HECM)
is a companion to Social Security and Medicare. It, as so clearly stated,
is a safety net for many Seniors who are locked into frozen wealth,via
their home equity,but left with no means of converting it to cash needed
for funding of so many extra years that our extended life expectancy now
require. FHA (HECM) is the envy of the most countries around the world.
Many programs try to replicate it, but none come anywhere close.

Re: $798 Million Subsidy: Time to Change the FHA Insured Reverse Mortgage Program?

QuanAdora — Fri, 28 Aug 2009 15:03:10 -0000

If the Servicing Set Aside is abolished,how are Lenders going to collect
the monthly fee.? The T&I 6 month Reserve sounds like a most workable
plan to address this problem. Bob LaFay Reverse Mortgage Consultant

Re: No HVCC for Reverse Mortgage Industry Says FHA Commissioner

QuanAdora — Tue, 25 Aug 2009 16:06:15 -0000

It would be most reassuring if HUD would issue a re-statement that
the FHA (MIP) for (HECM) is kept in separate trust

1. MIP for (HECM) funds are not transferred to the General Fund of the
United States Treasury.

2.Funds are used exclusively to cover expense and cost of property
transfer for holding of stressed Reverse Mortgages transferred to them
from under secured lenders.
3.Current analysis of funds on hand and projected pay out of losses for
next 5 years.
With proper diagnosis ,we will all be better prepared to take the
prescribed medicine. FIRST WE MUST BE CONVINCED WE ARE SICK'
Bob LaFay Reverse Mortgage Counselor

Re: Defaults on Reverse Mortgages are Headline Risk

QuanAdora — Wed, 19 Aug 2009 14:39:10 -0000

We need some clarification. T&I monthly escrow would work perfectly for
A. Tenure
B. Term
C. Credit Line

Is there a workable plan to cover Lump Sum? After disbursing all funding
available where do Mortgage Servicing Providers get the money to
pay the taxes and insurance on an annul basis?Bob LaFay Reverse Mortgage Consultant We would love to get details.

Re: Seniors Considering Larger Up Front Payments From Reverse Mortgages

QuanAdora — Sat, 15 Aug 2009 16:19:51 -0000

The report is illuminating. There are bound to be differences from
one originator to the other and possible trends in geographic locations.
As an example HUD estimates average age of Seniors applying for
FHA (HECM) Reverse Mortgage is right at 72. Again, those numbers
are not set solid; they will vary from Lender to Lender and from month
to month. All reports from originators should be welcomed. Keep them
coming and thanks for the effort. Bob LaFay, Reverse Mortgage Consultant

Re: HUD Grapples with Reverse Mortgage REO Properties

QuanAdora — Fri, 14 Aug 2009 15:34:15 -0000

Considering the fall out in the Forward Mortgage Market, the requested ,stand by set aside reserve ,requested by HUD for Reverse Mortgages seems modest. Bob LaFay Reverse Mortgage Consultant