Key facts
- NRMLA wants the D.C. Council to exempt all reverse mortgages from a proposed $100 foreclosure prevention fee.
- The current proposal exempts only reverse mortgages for borrowers over 62.
- NRMLA argues the exemption should be based on the loan's structure, not the borrower's age, aligning with federal definitions.
The National Reverse Mortgage Lenders Association (NRMLA) is advocating for the D.C. Council to extend a proposed foreclosure prevention fee exemption to all reverse mortgage loans, regardless of the borrower's age. In an Oct. 6 letter to Councilmember Robert C. White Jr., NRMLA President Steve Irwin urged changes to D.C. Council Bill B26-0819, the OWN Omnibus Amendment Act of 2026. The bill, introduced on Sept. 28, suggests a $100 fee on residential mortgage originations at closing, with an exemption for reverse mortgages for borrowers over 62. A public hearing is set for Oct. 22. NRMLA contends that the exemption should apply universally because the legal definition of a reverse mortgage is based on its structure, not the borrower's age, citing federal regulations like the Truth in Lending Act. While the FHA's HECM program has a 62-year-old minimum, NRMLA notes that proprietary reverse mortgages may be available to younger borrowers, who would otherwise be subject to the fee despite using home equity for living expenses.