No. of Recommendations: 17
Seniors were sold a risk-free retirement with reverse mortgages. Now they face foreclosure.
https://www.usatoday.com/in-depth/news/investigations/2019/0...

The broader public also pays a steep price. Reverse mortgages are insured by a Federal Housing Administration fund, which is in the red more than $13.6 billion because of an increase in claims paid out to reverse mortgage lenders since the recession.

Federal regulators and industry leaders cautioned that numbers alone tell only part of the story, since many foreclosures result from the natural end of reverse mortgages: the homeowner’s death. The average term of a reverse mortgage is about seven years, and if a family member is not willing or able to repay the loan, lenders push the property through foreclosure.

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It's great to see that bankers collect a $15,000 up-front fee to write the reverse mortgage while the taxpayers guarantee the debt. These guys must be "job creators".

Seems like a Universal Basic Income program for white guys in suits. <LOL>

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