Ginnie and FHA are working with Treasury and the Fed to allay fears about nonbank liquidity as COVID-19 lays fallow the U.S. economy.

HUD extends forbearance for a six-month period. As unemployment spikes, FHA/VA servicers brace themselves for delinquencies.

In response to the coronavirus outbreak, Ginnie is allowing lenders and issuers to execute certain forms using an electronic signature.

As the economic fallout from the coronavirus worsens, all eyes are on the FHA book of business. Forbearance is here but delinquencies could spike. And what about nonbank issuer/servicers? Ginnie isn’t saying much.

HUD’s Office of the Inspector General will evaluate how the department hires new employees and in what timeframe.

The Justice Department sees no need to issue additional guidance on defective FHA loans. The agency believes the actions undertaken so far will encourage depository institutions’ participation in the FHA program.

FHA reforms suggested by the MBA include streamlining of servicing requirements and standardization of guidelines for downpayment assistance programs.

HUD’s inspector general reported $69.0 million in financial recoveries from 30 administrative-civil actions related to FHA fraud and $39.2 million in settlements with two FHA lenders.

FHA has asked lenders and servicers to review existing guidance for originating and servicing forward loans and HECMs in presidentially declared major disaster areas.

The revised defect taxonomy will hardly nudge banks to return to or increase participation in FHA programs despite tighter standards for identifying and curing defective loans, according to industry stakeholders.