The Federal Housing Finance Agency (FHFA), under the direction of Bill Pulte, is charting a new course for its 2026–2030 strategic plan—one that shifts its focus from broad housing access and equity initiatives to a more risk-based supervisory framework. This pivot comes in direct response to recent executive orders issued by President Donald Trump, which have reprioritized regulatory approaches across federal agencies.
The Federal Reserve is increasingly sounding the alarm about growing risks in the U.S. housing and labor markets. In its latest meeting minutes, officials emphasized that a “more substantial deterioration in the housing market” could spill over into broader economic weakening, with particular concern for employment.
Mortgage industry data reveal signals pointing toward an uptick in home‑sales activity in 2026, driven largely by shifts in borrower behavior, equity patterns, and the unwinding of the “rate‑lock” effect. While affordability remains a headwind, the evolving mortgage landscape suggests increased turnover and sales opportunities on the horizon.
The Federal Housing Finance Agency (FHFA) has unveiled its proposed housing goals for the 2026–2028 cycle, revealing a shift toward easing affordable housing mandates on Fannie Mae and Freddie Mac. The changes reflect growing concerns that current benchmarks may be distorting market behavior and placing undue strain on lenders.
President Donald Trump has publicly challenged Fannie Mae and Freddie Mac to catalyze a surge in homebuilding activity, asserting that developers are sitting on a record number of vacant lots. His remarks, made on October 5, signal renewed pressure on the government‑backed mortgage firms to play a more active role in alleviating housing shortages.
The past year has seen sweeping changes in almost every area of loan origination, underwriting guidelines, and loan disclosures. USDA and FHA have both created new handbooks that came with completely new guidelines. The CFPB introduced the Loan Estimate and Closing Disclosures which replaced the Good Faith Estimate, TIL, and HUD-1. Fannie Mae and Freddie Mac introduced new guidelines for many topics including review of Schedule-A Unreimbursed Expenses and required reserves for borrowers retaining their home as a secondary or rental property.
Opinion-Editorial (Op-Ed) Disclaimer For NAMP® Library Articles: The views and opinions expressed in the NAMP® Library articles are those of the authors and do not necessarily reflect any official NAMP® policy or position. Examples of analysis performed within this article are only examples. They should not be utilized in real-world application as they are based only on very limited and dated open source information. Assumptions made within the analysis are not reflective of the position of NAMP®. Nothing contained in this article should be considered legal advice.
Periodically somewhere in the United States a natural disaster occurs that impacts an area of the United States. When the President of the United States declares a county of a state a “federal disaster area” then borrowers may qualify for HUD’s 203(h) program.
Opinion-Editorial (Op-Ed) Disclaimer For NAMP® Library Articles: The views and opinions expressed in the NAMP® Library articles are those of the authors and do not necessarily reflect any official NAMP® policy or position. Examples of analysis performed within this article are only examples. They should not be utilized in real-world application as they are based only on very limited and dated open source information. Assumptions made within the analysis are not reflective of the position of NAMP®. Nothing contained in this article should be considered legal advice.
The FHA has announced new standards for Energy Efficient Homes (EEH) with stretched ratios. This is in conjunction with the Department of Energy’s Home Energy Score.
Opinion-Editorial (Op-Ed) Disclaimer For NAMP® Library Articles: The views and opinions expressed in the NAMP® Library articles are those of the authors and do not necessarily reflect any official NAMP® policy or position. Examples of analysis performed within this article are only examples. They should not be utilized in real-world application as they are based only on very limited and dated open source information. Assumptions made within the analysis are not reflective of the position of NAMP®. Nothing contained in this article should be considered legal advice.
The more I read the new Single Family Handbook (SFH) 4000.1 versus the old handbook HUD – 4155.1 and previous Mortgagee Letters there are changes made and numerous clarifications made. The changes and clarifications make it an easier program to utilize. The FHA 203(K) program always had a regular program and then the FHA added a Streamline 203(K) program. Now FHA has changed the names to the program. They are now referred to the “standard” and “limited” 203(K) program.
Opinion-Editorial (Op-Ed) Disclaimer For NAMP® Library Articles: The views and opinions expressed in the NAMP® Library articles are those of the authors and do not necessarily reflect any official NAMP® policy or position. Examples of analysis performed within this article are only examples. They should not be utilized in real-world application as they are based only on very limited and dated open source information. Assumptions made within the analysis are not reflective of the position of NAMP®. Nothing contained in this article should be considered legal advice.
Tax returns are used to determine a self-employed borrower’s cash flow. To determine the borrower’s cash flow, there are two common ways to calculate self-employed income: the Adjusted Gross Income (AGI) and the Schedule Analysis Method (SAM). The method you use will be determined by your investor's requirements or company policy. Schedule C is the profit and loss statement of a sole proprietorship.
Opinion-Editorial (Op-Ed) Disclaimer For NAMP® Library Articles: The views and opinions expressed in the NAMP® Library articles are those of the authors and do not necessarily reflect any official NAMP® policy or position. Examples of analysis performed within this article are only examples. They should not be utilized in real-world application as they are based only on very limited and dated open source information. Assumptions made within the analysis are not reflective of the position of NAMP®. Nothing contained in this article should be considered legal advice.
On September 14, 2015 the Single Family Handbook (SFH) 4000.1 becomes effective. A change that most will not pick up is the underwriting of HUD REO’s. For those that are not familiar, a HUD REO is a property that was foreclosed by HUD approved mortgage servicer and the property is now owned by HUD. The term REO means Real Estate Owned. These properties are usually sold at auction.
Opinion-Editorial (Op-Ed) Disclaimer For NAMP® Library Articles: The views and opinions expressed in the NAMP® Library articles are those of the authors and do not necessarily reflect any official NAMP® policy or position. Examples of analysis performed within this article are only examples. They should not be utilized in real-world application as they are based only on very limited and dated open source information. Assumptions made within the analysis are not reflective of the position of NAMP®. Nothing contained in this article should be considered legal advice.
Buried in the new HUD – Single Family Handbook (SFH) – 4000.1 is the requirement for cases on or after September 14, 2015 to contain in each FHA case binder a “Pre – endorsement Review of Uniform Case Binder Stacking Order.”The review cannot be performed by the mortgage loan originator (MLO), the mortgage loan processor and by the Direct Endorsed Underwriter.
Opinion-Editorial (Op-Ed) Disclaimer For NAMP® Library Articles: The views and opinions expressed in the NAMP® Library articles are those of the authors and do not necessarily reflect any official NAMP® policy or position. Examples of analysis performed within this article are only examples. They should not be utilized in real-world application as they are based only on very limited and dated open source information. Assumptions made within the analysis are not reflective of the position of NAMP®. Nothing contained in this article should be considered legal advice.
In order to underwrite an Energy Efficient Mortgage (EEM) you must make certain the borrower will demonstrate an energy savings and an energy improvement with the mortgage loan under the FHA 203(K) mortgage loan program.
Opinion-Editorial (Op-Ed) Disclaimer For NAMP® Library Articles: The views and opinions expressed in the NAMP® Library articles are those of the authors and do not necessarily reflect any official NAMP® policy or position. Examples of analysis performed within this article are only examples. They should not be utilized in real-world application as they are based only on very limited and dated open source information. Assumptions made within the analysis are not reflective of the position of NAMP®. Nothing contained in this article should be considered legal advice.
When a borrower purchase a home, the borrower gain the rights or ownership of the land and title of real property is transferred to borrower by a deed. If borrower obtained a mortgage to purchase the home, then the lender will require borrower to obtain Title Insurance which is a policy protecting the buyer or the lender from defects in title or claims that can arise regarding the condition of the title.
Opinion-Editorial (Op-Ed) Disclaimer For NAMP® Library Articles: The views and opinions expressed in the NAMP® Library articles are those of the authors and do not necessarily reflect any official NAMP® policy or position. Examples of analysis performed within this article are only examples. They should not be utilized in real-world application as they are based only on very limited and dated open source information. Assumptions made within the analysis are not reflective of the position of NAMP®. Nothing contained in this article should be considered legal advice.
Over four weeks I gave everyone the FHA changes effective September 14, 2015 unless HUD delays the implementation of the changes again. These changes were originally set to take place on June 15, 2015 but HUD issued a delay to September 14, 2015. HUD has taken away the discretionary methodology in calculating a borrower’s income for a wage earner and/or hourly wage earner. Under the new guidelines an wage earner that is earning a specific income consistently that is the borrower’s income. The underwriter must use the actual income. Borrowers being paid an hourly wage underwriters can use the income shown as long as it is being is being paid consistently. If not consistent then the income must be averaged over a twenty four month (24) month period.
Opinion-Editorial (Op-Ed) Disclaimer For NAMP® Library Articles: The views and opinions expressed in the NAMP® Library articles are those of the authors and do not necessarily reflect any official NAMP® policy or position. Examples of analysis performed within this article are only examples. They should not be utilized in real-world application as they are based only on very limited and dated open source information. Assumptions made within the analysis are not reflective of the position of NAMP®. Nothing contained in this article should be considered legal advice.
Written By: Bonnie Wildt
I have said it before and I will say it again and that is, do not believe everything you hear or read for that matter. In this particular instance I am referring to AUS Findings. I have had countless conversations with processors and loan officer who want to know why I am asking for documentation that the AUS findings have clearly stated wasn’t needed or worse, they can’t believe I am turning a loan down that has an Approve/Eligible. So here it is again and pay particular attention to the details because just because you have an Approve/Eligible or Accept doesn’t necessarily mean you have a done deal.