Great news — the new CMT HECM+175 will use the maximum Principal Limit Factors this week. Those of you that followed our forecast email from last Wednesday will have some happy clients. The average HECM client will receive an extra $2,750 in Principal Limit compared to last week.
This week, all Treasury-based HECM’s with a margin of +177 or less will pay the HECM maximum benefits. Ditto for LIBOR-based HECM’s with margins of +105 or less. Using these margins, the initial note rate on a LIBOR HECM will be 40 bp less than that on a Treasury HECM.
The rates as of 9/3/08 are:
Reverse Mortgage Rate Updates are brought to you by Jerry Wagner & Ibis Reverse Mortgage Software
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