This memorandum is for clients that originate FHA HECM reverse mortgages. On September 28, 2018, the FHA issued Mortgage Letter 2018-06 (ML 2018-06, click here) that will require lenders originating HECMs to provide a second property appraisal where FHA determines there may be inflated property valuations. This new requirement will take effect for case numbers assigned on or after October 1, 2018 through September 30, 2019.


Full Memorandum