#borrower-costs

#borrower-costs

Second appraisals for HECMs add cost and delay, can hinder transactions, and affect borrowers, with occurrence rates around 8.3% in Q1 2026 and 10.4% in Q4 2025.

HECM mortgage insurance premiums should be restructured to better align with actual risk, particularly reducing upfront costs for low-LTV line-of-credit scenarios while addressing unnecessary refinancing practices.