In its fiscal year-end Annual Management Report , the Federal Housing Association confirmed that the popularity of reverse mortgages continues to grow. In fact, its HECM reverse mortgage program grew from 107,103 new mortgages endorsed in 2007, to 111,661 in 2008.

While many expect that the overall mortgage market will continue to struggle, it would not be surprising to see continued strength in the reverse mortgage market in 2009, especially considering the increase in the maximum loan amount to $625,500 . This higher reverse mortgage limit may very well attract owners of higher value homes who previously could not fully participate in the FHA reverse mortgage program.

For more information on reverse mortgages and the FHA Home Equity Conversion Mortgage (HECM) program, check out the following articles:

• Reverse Mortgage Basics
• Disadvantages of a Reverse Mortgage
• Using a Reverse Mortgage Calculator