Originally Posted by manaboutown (Post 1891273)

$2.11B was collected in insurance premiums, I believe from regular mortgages as well as RMs. The government paid out $15.75B, most of which was paid out due to RM foreclosures. We taxpayers are picking up the tab. We supplement the industry as the lenders literally cannot lose and of course the various commissions and fees they garner for every imaginable little thing they do along the way are humungous.

Originally Posted by Stu from NYC (Post 1891288)

This is why private industry does a better job than the govt.

Originally Posted by manaboutown (Post 1891318)

I agree in general but in this case private industry is using the government to guarantee receipt of huge profits at taxpayer expense.

My heart goes out to the feckless homeowners who were talked into taking out reverse mortgages by slick talking salespeople and ended up losing their homes to foreclosure, in many cases leaving them destitute as their homes were their primary asset.