The new policies were established days before the end of the Biden administration and won’t take effect until February 2026. The policies won praise from industry trade groups.

The fees in question related to mortgage payments made over the phone or online. HUD said accepting and processing mortgage payments is part of a servicer’s ordinary activities for which it is already paid.

Among the changes, FHA has reduced the required rental income history to 12 months from two years.

VA origination fees will stay at elevated levels through mid-2034 rather than coming down near the end of 2031. The extension was prompted by a bill that passed Congress with broad bipartisan support.

HUD gets acting secretary; FHA revises qualification requirements for single-family nonprofit program; exemption from hiring freeze excludes VA’s home loans program.

The plaintiffs contended that the new standards act as a deterrent to new construction and are in direct conflict with the current energy codes in the majority of jurisdictions around the country.

To this point, FHA hadn’t published its method of identifying servicing defects before, except in draft form.

Trade groups and consumer advocacy groups sent comments to FHA on a draft proposal from late November introducing a permanent loss-mitigation waterfall.

House Committee on Veterans’ Affairs Chair Mike Bost, R-IL, said the recent Supreme Court decision to overturn the Chevron doctrine should restore some checks and balances.

The changes are meant to better align the program with other federal housing programs and adhere to legislative updates.