Details recently emerged about the Obama administration’s new “FHA short refinance” program for borrowers who are current on their loan but owe more than the property is worth. Initial industry reaction is not favorable, as many experts are predicting that the program, which depends on existing mortgage holders agreeing to take a loss, will... [Includes one graph]
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Department of Housing and Urban Development officials announced last week that it will push back the implementation date for a new premium structure for FHA loans. The multi-step process of tweaking the fees charged to FHA borrowers was originally scheduled to take effect Sept. 7, but several factors, including concern from mortgage industry participants, caused...
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The FHA will no longer accept high loan-to-value ratios on rate-and-term refinances in a move that wipes out a vestige of the defunct FHASecure program. In September 2007, the Department of Housing and Urban Development announced that it would allow refinances for borrowers with outstanding second liens even if...
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Ginnie Mae’s mortgage-backed security program continued to increase its market share in the first half of 2010, but changes to net worth requirements on MBS issuers coming next month may limit some companies’ access to the program. Ginnie announced last week that... [Includes two data charts]
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Mortgage groups mostly supported the Department of Housing and Urban Development’s proposed changes to FHA underwriting, but industry participants almost unanimously disagreed with lowering allowable seller concessions to the proposed levels. The FHA in July proposed changes to improve risk management of its insurance fund including...
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The Department of Housing and Urban Development late last week announced the termination of 28 lenders’ approvals to originate and underwrite FHA loans under its Credit Watch initiative. HUD can remove the FHA approval of any lender that has a default and claim rate for loans endorsed within the last 2 years that exceeds 200 percent of the default and claim rate within...
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