[Federal Register Volume 86, Number 14 (Monday, January 25, 2021)]
[Notices]
[Pages 6915-6916]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-01515]


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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-7034-N-05; OMB Control No.: 2502-0524]


30-Day Notice of Proposed Information Collection: Home Equity 
Conversion Mortgage (HECM) Insurance Application for the Origination of 
Reverse Mortgages and Related Documents

AGENCY: Office of the Chief Information Officer, HUD.

ACTION: Notice.

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SUMMARY: HUD has submitted the proposed information collection 
requirement described below to the Office of Management and Budget 
(OMB) for review, in accordance with the Paperwork Reduction Act. The 
purpose of this notice is to allow for an additional 30 days of public 
comment.

DATES: Comments Due Date: February 24, 2021.

ADDRESSES: Interested persons are invited to submit comments regarding 
this proposal. Written comments and recommendations for the proposed 
information collection should be sent within 30 days of publication of 
this notice to www.reginfo.gov/public/do/Start Printed Page 
15501PRAMain. Find this particular information collection by selecting 
``Currently under 30-day Review--Open for Public Comments'' or by using 
the search function.

FOR FURTHER INFORMATION CONTACT: Colette Pollard, Reports Management 
Officer, QDAM, Department of Housing and Urban Development, 451 7th 
Street SW, Washington, DC 20410; email Colette Pollard at 
[email protected] or telephone 202-402-3400. Persons with hearing 
or speech impairments may access this number through TTY by calling the 
toll-free Federal Relay Service at (800) 877-8339. This is not a toll-
free number. Copies of available documents submitted to OMB may be 
obtained from Ms. Pollard.

SUPPLEMENTARY INFORMATION: This notice informs the public that HUD has 
submitted to OMB a request for approval of the information collection 
described in Section A. The Federal Register notice that solicited 
public comment on the information collection for a period of 60 days 
was published on September 17, 2020 at 85 FR 58068.

A. Overview of Information Collection

    Title of Information Collection: Home Equity Conversion Mortgage 
(HECM) Insurance Application for the Origination of Reverse Mortgages 
and Related Documents.
    OMB Approval Number: 2502-0524.
    Type of Request: Revision of currently approved collection.
    Form Number: HUD-92901, HUD-92902, HUD-92051, HUD-92561, HUD-
92800.5b, HUD-92900-A, HUD-92300, HUD-1, HUD-1a, Fannie Mae (FNMA)-
1009, FNMA-1025, FNMA-1003, FNMA-1004, FNMA-1004c, FNMA-1073, HUD-
92541, HUD-92544, NPMA-99A, NPMA-99B
    Description of the need for the information and proposed use: The 
Home Equity Conversion Mortgage (HECM) program is the Federal Housing 
Administration's (FHA) reverse mortgage program that enables seniors 
who have equity in their homes to withdraw a portion of the accumulated 
equity. The intent of the HECM Program is to ease the financial burden 
on elderly homeowners facing increased health, housing, and subsistence 
costs at a time of reduced income. The currently approved information 
collection is necessary to screen mortgage insurance applications to 
protect the FHA insurance fund and the interests of consumers and 
potential borrowers. Specific forms and related documents are needed to 
determine the eligibility of the borrower and proposed mortgage 
transaction for FHA's insurance endorsement. The model HECM Adjustable 
Rate Note has been revised to align with FHA's transition from the 
London InterBank Offered Rate (LIBOR) index to the Secured Overnight 
Financing Rate (SOFR) index, which includes, but is not limited to, new 
definitions and replacement index language for future adjustable 
interest rate index transition events.
    HUD also proposes to strengthen the HECM for Purchase property 
eligibility requirements by requiring inspection documentation for 
newly built properties that will serve as collateral for HECM 
financing. Currently, the HECM for Purchase program requires mortgagees 
to submit a Certificate of Occupancy, or its equivalent, as evidence 
that the property is complete and habitable as a condition of FHA 
insurance. In the near future, mortgagees may be required to complete 
and submit the following forms to FHA: (1) Form HUD-92541, Builder's

[[Page 6916]]

Certification of Plans, Specifications, and Site; (2) Form HUD-92544, 
Warranty of Completion of Construction; (3) Form HUD-NPMA-99-A, 
Subterranean Termite Protection Builder's Guarantee; and (4) Form HUD-
NPMA-99-B, New Construction Subterranean Termite Service Record. These 
forms are currently required by FHA for maximum financing for FHA's 
Title II Single Family forward mortgage programs and will align both 
the reverse and forward mortgage programs to ensure the property meet's 
FHA's minimum property standards while ensuring the home is safe, 
sound, and secure for the HECM borrower.
    Respondents (i.e., affected public): Business or other for profit.
    Estimated Number of Respondents: 2,375.
    Estimated Number of Responses: 59,375.
    Frequency of Response: Occasionally.
    Average Hours per Response: 2.54 hours.
    Total Estimated Burdens: 116,398.75.

B. Solicitation of Public Comment

    This notice is soliciting comments from members of the public and 
affected parties concerning the collection of information described in 
Section A on the following:
    (1) Whether the proposed collection of information is necessary for 
the proper performance of the functions of the agency, including 
whether the information will have practical utility;
    (2) The accuracy of the agency's estimate of the burden of the 
proposed collection of information;
    (3) Ways to enhance the quality, utility, and clarity of the 
information to be collected; and
    (4) Ways to minimize the burden of the collection of information on 
those who are to respond: Including through the use of appropriate 
automated collection techniques or other forms of information 
technology, e.g., permitting electronic submission of responses.
    (5) Ways to minimize the burden of the collection of information on 
those who are to respond, including the use of automated collection 
techniques or other forms of information technology.
    HUD encourages interested parties to submit comments in response to 
the proposed changes.

    Authority: Section 3507 of the Paperwork Reduction Act of 1995, 
44 U.S.C. Chapter 35.

Colette Pollard,
Department Reports Management Officer, Office of the Chief Information 
Officer.
[FR Doc. 2021-01515 Filed 1-22-21; 8:45 am]
BILLING CODE 4210-67-P