FHA Breaking News :

To Boost Sales Of Foreclosures, FHA Suspends Anti-flipping Rules

2010-02-05T11:00:00.001-05:00

Call it three birds with one stone: The federal government hopes to help low-down-payment home buyers, investors who fix up foreclosures, and communities burdened with too many bank-owned and foreclosed homes -- all with one potentially far-reaching policy change. The Federal Housing Administration is revising its long-standing anti-flipping rules starting Feb. 1 and just might score a hit with all three target groups. For years, the FHA has had a strict prohibition: It wouldn't insure a mortgage on a house if the seller had owned it for less than 90 days.

To read the entire article, please visit: http://www.washingtonpost.com/wp-dyn/content/article/2010/01/28/AR2010012804704.html

HUD FY2011 Budget Focuses On Fiscal Discipline, Investing In People And Places

2010-02-05T10:58:00.001-05:00

Housing and Urban Development (HUD) Secretary Shaun Donovan today unveiled the Department’s fiscal year 2011 budget proposal, following President Barack Obama’s presentation of his Administration-wide budget. The HUD budget focuses on fiscal discipline, creating jobs and builds on the administration’s first year accomplishments by proposing reform in HUD’s housing and community development programs to make them more streamlined, efficient, and accountable.

To read the entire article, please visit: http://portal.hud.gov/portal/page/portal/HUD/press/press_releases_media_advisories/2010/HUDNo.10-026

Yet Another Try At Foreclosure Rescue

2010-02-05T10:54:00.002-05:00

Under fire for the low number of people receiving long-term mortgage help, the Treasury Department on Thursday announced new guidelines that will require applicants to provide all paperwork before getting a trial modification. The new policy will make it harder for troubled homeowners to start the process, but it should make it easier for them to qualify for permanent assistance under President's Obama foreclosure prevention plan

To read the entire article, please visit: http://money.cnn.com/2010/01/28/news/economy/loan_modification/index.htm

Obama's Loan Modification Plan

2010-01-26T10:39:00.001-05:00

To everyone who was paying attention, many homeowners needed more bailout help in 2009 than the Wall Street bankers. Help did finally arrive in Obama’s Loan Modification Plan. It shared several names including HARP and the 125 Plan. What’s news is the administration’s Loan Modification Plan allows homeowners to refinance their current mortgage payments up to that of 125% of the present property value of the property. This is critical with many properties losing most or all of their equity over the last year. It now let’s mortgage holders refinance their current mortgage payments up to an amount equal to 125% of the present property value.

To read the entrie article, please visit: http://www.release-news.com/index.php/finance/1205-new-section-of-obamas-loan-modification-to-help-provide-mortgage-relief-for-homeowners

FHA Relaxes Resale Requirements!

2010-01-26T10:37:00.001-05:00

So on the lending front many things have changed. The FHA loan program which is driving the majority of sales in todays market has adjusted multiple times and recently there has been another adjustment, which might just make it more attractive for purchasers to take a chance on a foreclosed property in disrepair. For years the FHA required purchasers must put 3% of the sales price into the deal. Yet limited their responsibility to that, meaning any additional fees the seller was required to pick up the slack on behalf of the purchaser.

To read the entrie article, please visit: http://www.examiner.com/x-1606-DC-Real-Estate-Examiner~y2010m1d21-FHA-relaxes-resale-requirements

FHA Withdraws Approval of Three Lenders and Suspends a Fourth

2010-01-26T10:30:00.001-05:00

The Federal Housing Administration’s Mortgagee Review Board (MRB) has announced that it is immediately and permanently withdrawing the FHA approval of three mortgage lenders and is suspending a fourth. The MRB withdrew the FHA approval of Strategic Mortgage Corporation (Strategic), ProMortgage Inc., and Americare Investment Group Inc. (doing business as Premier Capital Lending. Additionally, the MRB has suspended the FHA approval of Home Mortgage Inc. (HMI) of Burr Ridge, Ill. “FHA takes its oversight role very seriously and will move swiftly and decisively to protect borrowers from unscrupulous lenders,” said FHA Commissioner David Stevens.

To read the entrie article, please visit: http://nationalmortgageprofessional.com/news15639/fha-withdraws-approval-three-lenders-and-suspends-fourth

HOUSING: FHA Loosens Loan Modification Rules

2010-01-22T17:08:00.002-05:00

Homeowners can now apply for a federally backed mortgage modification program before they get behind on mortgage payments, the Federal Housing Administration announced Friday. A change in the rules will allow homeowners who experience a sudden loss of income or other financial distress to apply for a loan modification though the Housing Affordable Modification Program before they miss a payment. Previous rules only admitted homeowners who were at least 60 days behind.

To read the entire article, please visit: http://www.nctimes.com/business/article_7f904588-6841-553a-b3ce-51844aa6941e.html

New FHA Loan Requirements Won't Negatively Affect Most

2010-01-22T11:41:00.001-05:00

The Federal Housing Agency has announced changes to its lending practices for loans most popular with first time home buyers, but local experts said this will mean little change to most potential buyers. "With all the big banks we read about that are having problems and everything else, they want to make sure that these lenders and FHA, which is more of an insurance program for loans, is around for a long, long time," said Hart Weatherford, president of Nashville based Farmington Financial Group.

To read the entire article, please visit: http://www.newschannel5.com/Global/story.asp?S=11861022

FHA Changes Rules

2010-01-22T11:38:00.001-05:00

FHA backed mortgages which have increased dramatically in the Sacramento area during the past few years and have allowed many first time buyers get into a home will be harder to obtain. The changes announced this week by the Federal Housing Administration also included a provision which may accelerate the recovery of the Sacramento real estate market. The FHA makes it possible for buyers to get a mortgage with a down payment of just 3.50 percent compared to the standard 20 percent for a conventional loan.

To read the entire article, please visit: http://www.rocklintoday.com/news/templates/realestate_california.asp?articleid=8523&zoneid=48

Picking The Sweet Spot In Real Estate

2010-01-22T11:33:00.001-05:00

First the housing market tanked, eventually sending home prices down 30% from their 2006 peak. Then came warnings that commercial real estate would be the next shoe to drop -- and that the problems could dwarf those in the residential market. Lately the signs of distress have become starkly visible: Prices of commercial property such as apartment buildings, malls, and offices have fallen more than 40% over the past two years. Rents are down, and vacancies are at their highest levels in more than two decades.

To read the entire article, please visit: http://money.cnn.com/2010/01/12/pf/investing_reits.moneymag/index.htm

Week-to-Week Mortgage Applications Rise 14.3%: MBA

2010-01-15T16:28:00.002-05:00

Mortgage applications rose a seasonally adjusted 14.3% last week as interest rates on fixed-rate mortgages fell, the Mortgage Bankers Association said Wednesday. Refinancing applications jumped 21.8% in the week ended Jan. 8 compared with the week before, which was shortened for the New Year's holiday. Applications for mortgages to purchase homes rose a seasonally adjusted 0.8% on a week-to-week basis.

To read the entire article, please visit: http://www.marketwatch.com/story/week-to-week-mortgage-applications-rise-143-mba-2010-01-13

Current Mortgage Rates Conf/FHA Steady

2010-01-15T11:32:00.001-05:00

Prices of mortgage backed securities are up just a tad today steadying current mortgage rates, both conforming and FHA, under 5%. In the past few days we’ve seen FHA mortgage rates, particularly FHA 30 year fixed mortgage rates, dip below conforming mortgage rates. MBS prices, of which current mortgage rates move opposite, were pushed up today by weak economic data. In late 2009 mortgage rates set all time record lows when 30 year fixed mortgage rates dipped to 4.5% onsurging mortgage backed securities prices.

To read the entire article, please visit: http://www.freerateupdate.com/current-mortgage-rates-steady-current-30-yr-at-4-875-fha-30-yr-at-4-75-still-2363

FHA Insider: Getting the FHA Business ... Presentation and Paradigm

2010-01-15T11:27:00.002-05:00

I’ve been asked many times by loan officers just how to develop Federal Housing Administration (FHA) business. My patent response is: “You have to brand yourself as an FHA specialist, get out there and give FHA presentations to your FHA referral sources, and then, follow up.” If you are proficient in the basic FHA guides and want FHA business, you need to make yourself the resource for FHA information. Remember, one of the biggest burdens a real estate broker has is providing useful and effective training to their agents. The FHA guides are so vast and change quite often, even we loan officers have a hard time keeping up.

To read the entire article, please visit: http://nationalmortgageprofessional.com/news15467/fha-insider-getting-fha-business-presentation-and-paradigm

FHA to Lenders: ‘We Are Watching You Very Carefully’

2010-01-15T11:24:00.001-05:00

The Federal Housing Administration initiated on Tuesday a probe of 15 mortgage companies that have disproportionately high default rates on loans insured by the government agency. Officials served subpoenas on the companies on Tuesday. The agency is looking at mortgage companies that have had above-average rates of loans that default shortly after origination, which is often a sign of fraud or sloppy underwriting.

To read the entire article, please visit: http://blogs.wsj.com/developments/2010/01/13/fha-to-lenders-we-are-watching-you-very-carefully/

HUD Repeals FHA Origination Fee Cap

2010-01-08T09:53:00.001-05:00

The U.S. Department of Housing & Urban Development (HUD) has issued Mortgagee Letter 2009-53 that eliminates the one percent loan origination fee limit on Federal Housing Administration (FHA) loans, but provides that the FHA will monitor lenders to ensure they are charging "fair and reasonable" fees for all origination services and that it intends to issue future guidance containing fee limits. The letter also clarifies the manner in which fees and charges for FHA-insured loans must be disclosed on the new Good Faith Estimate (GFE) and HUD-1 Settlement Statement.

To read the entire article, please visit: http://nationalmortgageprofessional.com/news15373/hud-repeals-fha-origination-fee-cap

NRMLA Proposes New FHA Approval for HECM Mortgagees

2010-01-08T09:51:00.002-05:00

The National Reverse Mortgage Lenders Association is proposing that the US Department of Housing and Urban Development create a separate category for smaller mortgagees, whose principal activity is the origination of reverse mortgages. The request comes after HUD’s proposed rule to raise net worth requirements and eliminate the approval of FHA loan correspondents.

To read the entire article, please visit: http://reversemortgagedaily.com/2010/01/06/nrmla-proposes-new-fha-approval-for-hecm-mortgagees/

New And Improved Mortgage Forms

2010-01-08T09:47:00.001-05:00

Starting Jan. 1, new rules go into effect that simplify and clarify exactly what mortgage lenders will charge for a loan. The initiative from the Department of Housing and Urban Development (HUD)requires that a new "Good Faith Estimate" form be given to all applicants, one that makes it easier to compare true costs of loans from different lenders. "The main purpose is to give consumers the tools to be able to compare apples to apples," said Robert Grosser of Luxury Mortgage, a New Jersey-based direct lender.
To read the entire article, please visit: http://money.cnn.com/2009/12/31/real_estate/new_mortgage_rules/index.htm

Nothing Simple With Real Estate

2010-01-04T16:12:00.001-05:00

As houses continue to be foreclosed on and then listed for sale by lenders, these foreclosed houses come on the market and add to the supply of homes for sale. So there are now more houses on the market. Lenders-driven in part by new Federal Housing Administration, Housing and Urban Development, and Federal National Mortgage Association rules and in part by fear of future loan defaults—have tightened their lending requirements, keeping potential buyers out of the markets. This means that the remaining buyers who do qualify for loans have more houses to choose from and can play sellers against each other, driving down the prices for the houses.

To read the entire article, please visit:http://www.ctlawtribune.com/getarticle.aspx?ID=35928

HUD Eliminates 1% Cap on FHA Mortgages

2010-01-04T12:33:00.001-05:00

The US Department of Housing and Urban Development (HUD) removed the 1% origination fee cap on loans insured by the Federal Housing Agency (FHA), according a mortgagee letter sent out this week. HUD made the change to remain consistent with the Real Estate Settlement Procedures Act (RESPA), which will require mortgage lenders to disclose to borrowers a single origination fee on the Good Faith Estimate (GFE) and the HUD-1 Settlement Statement. The regulations go into effect Jan. 1, 2010 and have software developers scrambling to fit in the updates before the deadline.

To read the entire article, please visit: http://www.housingwire.com/2009/12/31/hud-eliminates-1-cap-on-fha-mortgages/

FHA Steps Up In Time Of Need

2010-01-04T12:31:00.001-05:00

Every time HUD makes a change or looks at its financial stability, you hear howls about its function in housing. Should the government really be involved in homes and loans? Some members of Congress would like to see the Federal Housing Administration taken out of the Department of Housing and Urban Development and put into the private sector. For years, “government housing” options – specifically FHA loans – were perceived as being problematic and heavily wrapped in red tape. The favorite line for real estate salespersons became “Of course your FHA loan is screwed up. Can you spell HUD backwards?”

To read the entire article, please visit: http://www.spokesman.com/stories/2010/jan/03/fha-steps-up-in-time-of-need/

HUD To Assist Homeowners Facing Problem Drywall

2010-01-04T12:30:00.000-05:00

The U.S. Department of Housing and Urban Development today announced that FHA-insured families experiencing problems associated with problem drywall may be eligible for assistance to help them rehabilitate their properties. In addition, HUD’s Community Development Block Grant (CDBG) Program may also be a resource to help local communities combat the problem. FHA is reminding its approved lenders that they are to offer special forbearance for borrowers confronted with the sudden effects of damaging drywall products in their homes including the financial hardship associated with related home repairs.

To read the entire article, please visit: http://portal.hud.gov/portal/page/portal/HUD/press/press_releases_media_advisories/2009/HUDNo.09-237

FHA Mortgage Rates: FHA Mortgage Rates Still Excellent – 30 Year Fixed FHA Rates Vary

2009-12-28T13:25:00.002-05:00

A month ago FreeRateUpdate.com reported an FHA 30 year fixed rate of 4.5% at par, a record low. FHA mortgage rates today are up from all time lows but still excellent. Unlike conforming mortgage rates which are about the same no matter where you go, FHA mortgage rates vary greatly from bank to bank. Here’s an example of varying FHA mortgage rates. FreeRateUpdate.com research of wholesale lender’s current mortgage rates verifies par rates as low as 5% on FHA 30 year fixed loans.

To read the entire article, please visit: http://www.freerateupdate.com/fha-mortgage-rates-fha-mortgage-rates-still-excellent-30-year-fixed-varies-1916

HUD Delays New FHA Appraiser Guidelines

2009-12-28T13:22:00.001-05:00

The Department of Housing and Urban Development (HUD) postponed implementation of new rules meant to promote objectivity for appraisers and minimize interference from lenders of Federal Housing Administration (FHA)-backed mortgages. According to an FHA memo obtained by HousingWire, the January 1, 2010 implementation of Mortgagee Letter (ML) 2009-28 (download here) won’t take affect until February 15, 2010. The new FHA regulations are similar to those implemented by the government-sponsored enterprises (GSEs) to ensure appraiser independence with the Home Valuation Code of Conduct (HVCC).

To read the entire article, please visit: http://www.housingwire.com/2009/12/23/hud-delays-new-fha-appraiser-guidelines/

Extreme Modifications: 2% Mortgages

2009-12-28T13:18:00.002-05:00

At 8 a.m., homeowner Rodney Wynn was drowning under his $1,800-per-month, 13.4% interest rate mortgage. But by 5 p.m., he had found some relief: a 4.7% loan with a $970 monthly payment. Wynn, a program director for a youth home in North Carolina, is just one of a growing number of homeowners getting dream workouts on their mortgages. Some are even getting sweet 2% deals.

To read the entire article, please visit: http://money.cnn.com/2009/12/16/real_estate/great_mortgage_modifications/index.htm

New Rules For Reverse-Mortgage Counselors

2009-12-18T11:37:00.002-05:00

Older homeowners considering a reverse mortgage can now get more help in the decision-making process. The Federal Housing Administration, which insures reverse mortgages, last month instituted new standards for the counselors who, according to federal law, must meet with prospective borrowers before a loan can be approved. Under the new rules, counselors are required to pass an exam that was used in recent years by the AARP Foundation to qualify its reverse-mortgage counselors, and they must take part in training every two years.

To read the entire artice, please visit : http://seattletimes.nwsource.com/html/realestate/2010482623_realreversemorts13.html