Home Equity Conversion Mortgage (HECM) Practice Test

Active status on the HECM Roster means the agency is currently authorized and eligible to originate and service HECM loans. Being on the roster in this active state confirms that the agency meets HUD’s ongoing requirements and is permitted to participate in the program. If an agency is listed as pending, it’s still under review and cannot originate HECM loans yet. Inactive indicates a lapse or suspension in eligibility, so the agency isn’t currently allowed to participate. Archived means the agency has been removed from current participation and cannot conduct HECM business. Therefore, active is the only status that allows active participation in the HECM program.