Differences between a HECM and Proprietary Reverse Mortgages Posted By : allreverse
Differences between a HECM and Proprietary Reverse Mortgages Posted By : allreverse
Differences between a HECM and Proprietary Reverse Mortgages Posted By : allreverse Youve made the decision to get a reverse mortgage and now you talk to a bank or mortgage broker and the representative is telling you that you have a choice of the Government Home Equity Conversion Mortgage (HECM or Heck-um) or a Jumbo or Proprietary Program. Is one better than the other? Is one more expensive? Is one more risky? Lets see if we cant cut through some of the fat and get to the meat of the issues.
Banks continue to profit despite credit crisis
Some of Britain’s biggest banks have increased their profits from customers by 12% to £3.75 billion despite the financial crisis, their latest results reveal. Big losses arising from the credit crunch made the headlines last month, but the small print of the banks half-year reports shows they are clawing back profits from British consumers by charging the highest margins on mortgages in years. Mortgage borrowers are now paying thousands of pounds more for loans from HSBC, HBOS, Lloyds TSB,
Free money
Why didn’t someone think of it before? It is so obvious. The logic is so simple. If the housing market is collapsing from a lack of credit, then why doesn’t the government step in and offer free loans to first time buyers. Problem solved. As soon as the money comes on line, house prices will stabilize. First time buyers will come flooding back into the housing market, waving their free loans at risk-averse banks. How did Brown and Darling justify this extraordinary generosity? In announcing th