Reverse Mortgage Counseling Fees Vary

The Department of Housing and Urban Development (HUD) recently released a memo to clarify how much counseling agencies may charge for Home Equity Conversion Mortgage (HECM) counseling services.  The memo references Mortgagee Letter ML 2011-09 which states that there is no cap or maximum amount that can be charged for HECM counseling.  It goes on to say that a fess of $125.00 is neither a maximum nor a minimum allowable charge.  HUD requires that counseling agencies must be able to demonstrate how the fee charged to clients was calculated and what considerations contributed to the establishment of the fee.  HUD will conduct Performance Reviews in which agencies will be required to have this information available.

For more information on reverse mortgages and other related topics contact:

Rick R. Rodriguez
Certified Reverse Mortgage Professional, CRMP
NMLS# 473353
Toll Free (877) 500-0454
Local (702) 460-6222