With less than three weeks to go before new financial assessments for reverse mortgages became mandatory, the Federal Housing Administration announced Thursday that it will delay their effective date due to technical issues.
A delay in certain system enhancements needed to support the policies has forced the FHA to publish a Mortgagee Letter that will outline the new date at which point the financial assessments will turn mandatory, the agency said in a Feb. 12 announcement.
Once the requirement is effective, lenders will need to employ the new financial assessment in determining whether seniors qualify for a government-insured reverse mortgage. The FHA issued this guidance last November.
The FHA said it expects the new date will be within 30 to 60 days of the original March 2 effective date.