FHA Adopts SOFR For Adjustable-Rate Reverse Mortgages, Drops LIBOR

National Mortgage Professional, Mar. 12, 2021–Navi Persaud
The Federal Housing Administration revealed that the Home Equity Conversion Mortgage program will be dropping the London Interbank Offered Rate index for adjustable-rate HECMs. In its place, FHA will adopt the Secured Overnight Financing Rate, according to a recently published Mortgagee Letter.