Links in “FHA”

New Federal Housing Administration guidelines address "compensating factors" to help lenders be consistent when underwriting loans to borrowers with lower credit score, but verified cash reserves or other compensating factors. [12/12]

HUD maintains the current standard for rural/lower cost areas at $271,050, but reduces the limit for approximately 650 counties from the then $729,750 to the new $625,000. Past increase was part of Economic Stimulus Act of 2008 designed to encourage lending. The bump was scheduled to originally drop in 2009, but allowed to roll-over for 4 years. Apparently, all good things must come to an end. As in 1/1/2014. [12/9]

While GSE reform is getting most of the attention, analysts argue that Federal Housing Administration reform, which has seen its portfolio grow from $400 billion before the housing crisis to $1.1 trillion since and has seen its capital reserves fall to -1.44% in 2012, must be done in conjunction in order to avoid a potential shift in volume back to FHA. [10/23]

While regulators are to remain open, banks are looking at potentially significant impacts due to shutdown, as SBA, FHA and other agencies that make government-guaranteed loans come to a grinding halt. [10/1]

FHA issues a final rule that streamlines the financial statement reporting requirement for credit unions and other lenders supervised by federal banking agencies. In exchange for submitting annual audited financial statements, FHA-approved lenders with less than $500 million in assets will be able to submit their unaudited financial regulatory reports that align with their fiscal year-end. [9/17]

New rule aligns with other regulatory requirements for small lenders/mortgagees (under $500 million) that allows for Call Report type information to be submitted to HUD for FHA lenders. [9/17]

Fair Housing Act's prohibition against discrimination regarding disabilities is used by HUD to protect homeowner denied benefit of his "emotional support dog" (Man's Best Friend) in housing. [9/16]

HUD charges Fifth 3rd with discrimination on basis of disability for requiring unnecessary medical documentation from elderly couple in order to qualify the couple for a Federal Housing Administration (FHA) loan. Significantly larger fair lending impact on underwriting process likely to emerge. [8/23]

New Federal Housing Assistance guidelines allow certain borrowers who went through foreclosure, bankruptcy deed-in-lieu, or short sale to re-enter the market in as little as 12 months, rather than 3 years. [8/20]

A reinstatement request with modification, but has underlying tone of importance of ensuring analysis of CU's appraisals and impact on Fair Lending. Comment period of 60 days. [8/19]