A proposal to streamline servicing and claim requirements for FHA mortgages is in the works, along with expanded loss-mitigation options for VA servicers. VA also plans to issue a final rule on cash-out refis.

Outlook for Wells’ participation in FHA market unclear; Biden signs legislation to improve VA appraisals; MBA calls for higher fee on mortgage assumptions; VA revises forms; FHA hosting webinar on quality assurance; Rural Housing Service updates program guidelines.

VA wants to know if its loss-mitigation options are flexible and adaptable enough for transitional times.

The House has passed a bill that would require VA to update the guidance and regulations of its home loan program, especially around appraisals.

The most popular option is when another veteran assumes the VA loan and trades the benefit eligibility, said John Bell, executive director of VA’s Loan Guaranty Service.

Commenters said the challenges that servicers face in responding to COVID-related loss-mitigation programs argue against a rush by VA to implement its servicer tier rankings.

Seeking to further advance the Biden’s administration housing agenda, the White House’s proposed budget allocation includes $11.6 billion more for HUD in fiscal year 2023.

The Consolidated Appropriations Act of 2022 includes $53.7 billion for the Department of Housing and Urban Development.

Through its Loan Guaranty Service, the Veterans Benefits Administration is making fiscal 2022 funding grants available to encourage the development of new assistive technologies for adapted housing.

The House last week passed the Guard and Reserve GI Bill Parity Act, which would raise fees for VA home loans to help fund expanded educational assistance for servicemembers.