RAMs exist in every state except Texas.
The Texas Constitution stopped lenders from offering seniors lines of credit and, therefore, reverse mortgages. Last year Texans voted to amend the constitution to allow RAMs, HUD wrote special guidelines for Texas and Fannie Mae made certain Texas reverse loans would attract investors. But a new problem surfaced. FHA has depleted its insurance fund, which means reverse loans cannot be granted because they cannot be guaranteed. When the FHA receives its new fiscal appropriation in October, RAMs should become a reality in Texas.