NY A05877

Raises the minimum age for reverse mortgage eligibility from 60 to 62 years old.

Expands eligible property types to include cooperative apartments, life estates, trusts, and leaseholds in addition to one- to four-family residences and condominiums.

Requires borrowers to complete HUD-approved counseling with a signed certificate before loan processing begins, prohibiting processing expenses until counseling is complete.

Prohibits lenders from requiring borrowers to purchase insurance or annuity products as a condition of eligibility, except for standard title, hazard, flood, and peril insurance.

Repeals section 280-a of the real property law and consolidates reverse mortgage loan provisions into a single statutory framework covering both FHA-insured (HECM) and non-FHA-insured (proprietary) loans.