Chapter 375 - S.F. No. 2430 Summary

• Regulates reverse mortgages by requiring lenders to refer borrowers to HUD-approved independent housing counseling agencies and obtain certification of counseling completion before accepting final applications, with $1,000 civil penalty for non-compliance.

• Establishes a seven-day cooling off period after borrower acceptance of lender's written commitment and allows rescission within three days of loan execution for reverse mortgage loans.

• Prohibits lenders, mortgage brokers, and residential mortgage originators from requiring borrowers to purchase annuities, investment products, life insurance, or long-term care insurance as a condition of obtaining a reverse mortgage loan.

• Requires foreclosing parties to provide mortgagors with written notice of foreclosure sale results three days before acquiring property, including sale date, purchaser identity, sale price, and redemption rights information, with private right of action for violations allowing actual damages, $1,000 statutory damages, and attorney fees.

• Modifies time for requesting hearing on building security orders from 14 days to 6 days and authorizes political subdivisions to recover costs when orders reduce redemption periods to five weeks.