Fixed Rate Reverse Mortgage Just Became More Attractive Yesterday, the US Department of Housing and Urban Development released a clarification about fixed rate Home Equity Conversion Mortgages (HECMs) that will make the product a much more viable solution for more borrowers. Auburn, CA (PRWEB) April 3, 2008 – The fixed rate reverse mortgage has been released with great popularity. Initially though, it was thought that a borrower needed to take a lump sum of cash at closing and that the line of credit or payment options were only available at a higher interest rate. In HUD’s Mortgagee Letter 2008-8, HUD made some clarification as to what was once thought. “We are very excited about HUD’s clarification,” stated Josh Borba, Vice President of Borba Investments, Inc. dba MLS Reverse Mortgage. “The fixed rate product has been received with tremendous popularity and with this new clarification I would anticipate that many of ours borrowers will take the fixed rate option over the adjustable rate option.” The ML clarifies that: Fixed interest rate HECMs may be open or closed-ended credit;   The expected average mortgage interest rate used to calculate the principal limit on a fixed interest rate HECM and the HECM Note rate must be identical;   The monthly servicing fee for a fixed interest rate HECM can be up to $30.00; and   HECM borrowers can change payment plan options during the term of the mortgage as long as the mortgage balance is less than the principal limit. Today, the fixed rate HECM has a rate of 5.95%. For more specific information on how a reverse mortgage may benefit you, please visit MLS Reverse Mortgage on the Web. About MLS Reverse Mortgage  MLS Reverse Mortgage is headquartered at 13478 Luther Road, Suite C, Auburn, CA and can be reached at 1-888-888-4834 or on the Internet at www.LearnAboutReverseMortgages.com.   Apply for a fixed rate HECM Today! Previous Press Release