HUD/FHA

This Mortgagee Letter (ML) establishes the 2026 HECM Limits.

This final rule amends HUD’s regulations to further RESPA’s purposes by requiring more timely and effective disclosures related to mortgage settlement costs for federally related mortgage loans to consumers.

In compliance with Section 202(c) of the National Housing Act, this notice advises of the cause and description of administrative actions taken by HUD’s Mortgagee Review Board against HUD-approved mortgagees.

This Mortgagee Letter describes the replacement index that lenders and servicers should use for adjustable rate HECMs in place of the LIBOR index, which is no longer maintained.

This Mortgagee Letter revises the eligibility rules for non-borrowing spouses of reverse mortgage borrowers to remain in the home. These policy changes make it easier for non-borrowing spouses with HECMs originated both before and after August 4, 2014, to access the necessary home retention options while they reside in the home.

Establishing the 2024 maximum claim amount limit for HECMs at $1,149,825. This limit also applies to special exception areas (Alaska, Hawaii, Guam, and the Virgin Islands).

Establishing the 2023 maximum claim amount limit for HECMs at $1,089,300. This limit also applies to special exception areas (Alaska, Hawaii, Guam, and the Virgin Islands).

Original version of an exemption for certain subordinate loans from Regulation X requirements concerning the HUD-1 settlement statement, the good faith estimate, the mortgage servicing transfer statement, and the settlement costs booklet.

Mortgagees may evaluate a HECM borrower for permissive loss mitigation after first legal action has been taken with reference to a HECM letter.