NY S07724

Amends existing reverse cooperative apartment unit loan provisions to clarify that borrowers receive lifetime possession of their apartment unit (not just shares or membership) as long as it remains their primary residence and they are not in default.

Requires lenders to annually advise borrowers of their designated third-party contact information and ask if they want to update it, replacing the previous requirement to ask borrowers to designate a contact.

Eliminates requirements for letters of credit and minimum capital standards for lenders that fully fund loans at consummation or sell loans to financially viable secondary market institutions.

Requires lenders to notify borrowers and their authorized designee within thirty business days of a loan termination event and allow forty-five calendar days to cure before the lender can terminate the reverse mortgage loan.

Specifies that death of a borrower is not automatic default under the reverse cooperative apartment unit loan agreement, except as otherwise detailed in the loan terms, and removes the death trigger as a standalone default event.