The Federal Housing Administration plans to impose new restrictions on reverse mortgages starting next year (i.e. tomorrow).
The move will put a small crimp in the sales of homes by seniors, but it won’t really impact the overall housing inventory, as far as we can tell. Remember: Most reverse mortgages, by design, are structured to allow seniors to stay in their homes until they pass away or move for whatever reasons.
But there are two people who definitely will be impacted by the restrictions: Reverse-mortgage pitchmen Robert Wagner and Henry “The Fonz” Winkler.
Crocodile Shed tears