NJ S264

Requires lenders to provide borrowers with a written checklist covering seven key topics before accepting a reverse mortgage application, including impacts of early move-out, alternative financing options, effects on heirs, and ability to finance future care needs.

Mandates that borrowers receive in-person counseling from a HUD-approved New Jersey counseling agency before closing; the certification must be signed at least three business days before closing and expires after 180 business days.

Lenders must provide contact information for at least five HUD-approved counseling agencies that have no financial ties to the lender or loan originators.

Grants borrowers a seven-day rescission period after accepting the lender's written loan commitment, during which they cannot be required to close or proceed with the loan.

Renders reverse mortgages void and unenforceable if executed without required pre-loan counseling; lenders may face a $1,000 civil penalty payable to the borrower for other violations.