Will FHA continue to perform a collateral risk assessment on Home Equity Conversion Mortgages (HECM) after September 30, 2019?

FHA will evaluate the impact of Mortgagee Letter 2018-06 to determine if the requirements will continue.

For additional information see Mortgagee Letter 2018-06 available at: https://www.hud.gov/program_offices/administration/hudclips/letters/mortgagee

All policy information contained in this knowledge base article is based upon the referenced HUD policy document. Any lending or insuring decisions should adhere to the specific information contained in that underlying policy document.

Topic Number: 2018-0028