HECM

HUD Updates Counseling Guidance 

The Department of Housing and Urban Development (HUD) released Mortgagee Letter 2011-09 to update guidance of the counseling documentation and fee requirements, including provisions that allow for increased counseling fees. In regard to fees, the letter clarifies documentation and record keeping requirements for agencies that charge fees, including waiver requirements for certain low income clients.  Counseling agencies are required to waive a counseling fee when they have sufficient documentation to demonstrate the client's income is below 200% of the Federal Poverty Level. Such documentation must be in the form of Social Security payment stubs, income tax returns for prior