www.hudclips.org 


U. S. Department of Housing and Urban Development
Washington, D.C. 20410-8000

 
September 29, 1995
 
OFFICE OF THE ASSISTANT SECRETARY
FOR HOUSING-FEDERAL HOUSING COMMISSIONER
 
MORTGAGEE LETTER 95-45
 
TO:ALL APPROVED MORTGAGEES
 
SUBJECT:Home Equity Conversion Mortgage (HECM) Insurance Program - Lapse of
Insuring Authority
 
        The insuring authority for the Home Equity Conversion Mortgage (HECM)
Insurance program expires on September 30, 1995. While we fully expect this
program to be extended by the U.S. Congress, it appears unlikely that it will
occur by the expiration date.  Accordingly, the Department will not issue any
conditional commitments to insure a mortgage after September 30, 1995.
Mortgage applications where a conditional commitment is issued on or before
September 30, 1995 are not affected by the expiration of the HECM insuring
authority.  These loans may proceed to closing and endorsement for mortgage
insurance.
 
        If you have questions regarding this letter, please contact the local
HUD Office.
 
Sincerely yours,
 

Nicolas P. Retsinas
Assistant Secretary for Housing-
Federal Housing Commissioner