Older homeowners should know about this letter to the Fed - HECMWorld.com Skip to content
Advertisement

Older homeowners should know about this letter to the Fed

housing industry writes the Fed to stop interest rate hikes
Advertisement


 

If there’s one thing you may want to share with your potential reverse mortgage borrowers it’s this. Last Monday, October 9th, The National Association of Realtors, the Mortgage Bankers Association, and the National Association of Home Builders wrote the Federal Reserve Chairman and the Board of Governors a letter petitioning the Fed to stop raising interest rates.

 

Why should older homeowners with substantial equity be concerned? Because the letter reveals what few real estate professionals or traditional lenders are willing to say out loud. That is the U.S. housing market is in a precarious position and so are home values and consequently senior home equity. Homeowners should be reminded of this one truism. That equity is a mere number, an illusion of sorts until it is separated from the home by either selling or tapping into the home’s value with a reverse mortgage or home equity loan.

 

The industry players expressed their -quote “profound concern shared among our collective memberships that ongoing market uncertainty about the Fed’s rate path is contributing to recent interest rate hikes and volatility”. The letter adds,

 

Read More

Share:

Editor in Chief: HECMWorld.com
 
As a prominent commentator and Editor in Chief at HECMWorld.com, Shannon Hicks has played a pivotal role in reshaping the conversation around reverse mortgages. His unique perspectives and deep understanding of the industry have not only educated countless readers but has also contributed to introducing practical strategies utilizing housing wealth with a reverse mortgage.
 
Shannon’s journey into the world of reverse mortgages began in 2002 as an originator and his prior work in the financial services industry. Shannon has been covering reverse mortgage news stories since 2008 when he launched the podcast HECMWorld Weekly. Later, in 2010 he began producing the weekly video series The Industry Leader Update and Friday’s Food for Thought.
 
Readers wishing to submit stories or interview requests can reach our team at: info@hecmworld.com.

Leave a Comment

4 Comments

  1. Rates rise – HECM falls.

  2. But wait, I thought Powell told us inflation was “transitory,” and Yellen told us it would be “back to normal by end of 2021.” They need to wake up and stop watching lagging indicators.

    • Well said, Dan. So right about lagging indicators.

  3. THE GOVERNMENT HAS BEEN LAGGING WITH FACTUAL DATE FOR ALMOST THREE YEARS WHATS NEW

    Bill Krone


Add a Comment

Your email address will not be published. Required fields are marked *

Advertisement
Advertisement

Recent Stories

Topics

Subscribe to join our World

Get the latest reverse mortgage news delivered straight to your inbox.