The only thing magic about age 62+ is that a homeowner has more available financial options, courtesy of FHA's Home Equity Conversion Mortgage program guidelines.

Much of what is written about reverse mortgages centers around involving family members, determining the decision makers, protecting the reverse mortgage applicant with all sorts of government safeguards, including mandatory counseling.

I managed to get around seeing a counselor my whole life, including college.  That took some doing, because, technically, the U of MN wanted the appointed "adviser" to bless the quarterly or semester course selection.  Not necessary, I decided, since the degree requirements were clearly laid out in the manual.

Times have changed:)  But, I refuse to believe that there are not a substantial number of adults that are interested in reverse mortgage options, but do not want the family consulted.  They wish to keep it a private and confidential matter.  Many just want to know the rules and would rather skip counseling all together.

Sorry, you can't "skip" counseling, but other than that, you can expect and demand as much privacy and confidentiality from your lender as is practical.  A 1 hour or less mandatory counseling session from a HUD approved counseling agency & approved counselor has to be documented along with other necessary loan and closing functions, including an appraisal. Of course, we welcome input from family members if and when the homeowner chooses that route. 

Appraisers, for the most part, will not share with neighbors, the purpose of the appraisal (it is contrary to confidentiality provisions of the Uniform Standards of Professional Appraisal Practices). I like curious neighbors for the most part, but this time, it is none of their business unless you choose to make it so!

Counselors, likewise, are going to keep session information confidential.  I recently took a HUD approved HECM counselor training course, and, frankly, have kind words to offer.  They really do just want the counselors to make sure that the homeowner's options were explained accurately and/or correctly understood. I am confident that the vast majority of counselors do a decent job, in part, because of the way the course was presented.

In my opinion, it should be no secret what HUD counselors are taught.  In fact, the training could help a homeowner make a decision to get a reverse mortgage by taking the mystery out of the program.  One of the huge problems with HECM reverse mortgages is that, for people in the right situation, it is simply an option that seems too good to be true!  As a result, otherwise intelligent, confident people, in need of a reverse mortgage falsely reject this amazing option and opportunity.  After all, most things that seem too good to be true, are not true.

For some of you on the fence, take this official course, jointly sponsored by HUD and AARP. It is designed for Counselors employed by non-profit HUD approved cousneling agencies.  You can't take the test unless you are an employee of a HUD approved counseling agency, but these training links are open to the public (I hope they don't pull the plug on access).  Follow the directions here for basic training, on line.  Download the manual, Home Made Money, and the study guide as well.  They will be used in the on line sessions that are presented on line like a power point, but with audio.

 HECM Counselor Basic Training

email me, if you need technical assistance, at rogerw@rivercitymortgage.com