The National Reverse Mortgage Lenders Association is urging two government-sponsored enterprises to enter the reverse mortgage market. The association is asking that Fannie Mae be able to once again buy reverse mortgages and that Freddie Mac be able to as well.
NRMLA sent its request to the Federal Housing Finance Agency, noting the benefits of the reintroduction of a Home Keeper-like program similar to that of Fannie Mae’s proprietary reverse mortgage, and the importance of Fannie and Freddie being able to purchase proprietary reverse mortgages in the market.
Ginnie Mae has been the sole HECM-backed mortgage securities (HMBS) issuer since 2010 when Fannie Mae stopped purchasing reverse mortgages. Fannie cited lack of infrastructure to handle multiple reverse mortgage product types as the reason.