Reports have circulated that HUD has given lenders approval to foreclose on seniors whose properties have gone into “technical” or other default, with specific instructions coming sometime this spring. “We are aware of HUD’s decision” to allow the foreclosures, one prominent originator told RMD, after much speculative discussion among reverse mortgage professionals at a recent [...]

Today, as part of its ongoing commitment to continuously improve housing relief efforts, the Administration announced adjustments to the Home Affordable Modification Program (HAMP) and to the Federal Housing Administration (FHA) programs. These program adjustments will better assist responsible homeowners who have been affected by the economic crisis through no fault of their own. The [...]

This morning, in an interview with Diana Olick of CNBC, David Stevens (the FHA Commissioner) discussed changes coming to FHA this summer. Besides a slightly higher down payment and stricter underwriting criteria, FHA is increasing their upfront mortgage insurance premium from its current 1.75% to 2.25% on all applications received on or after April 5, [...]

Responding to critics, officials of the Federal Housing Administration are set to warn in Congressional testimony Thursday that a double-dip decline in housing prices may result from even a slight increase in minimum down payments on FHA-backed loans. An increase in down payments to 5%, from the current minimum 3.5%, would limit new FHA-backed loans [...]

National Mortgage Professional Magazine recently had an opportunity to chat with David H. Stevens, Assistant Secretary for Housing at the U.S. Department of Housing & Urban Development (HUD), and 27th Commissioner of the Federal Housing Administration (FHA). Established in 1934, the FHA was designed to promote stability in the housing market by insuring fixed-rate mortgages [...]

If you read the news everyday, you’ve probably seen more and more headlines like these in recent months: “Government Shuts Down Troubled Mortgage Firm” and “HUD Probes High-Default Lenders.” Such language might lead you to believe that the feds are weeding out bum lenders. What you’d be missing is that even after the feds zero [...]

Battered by the housing crisis, mortgage finance company Fannie Mae said Friday that it needs another $15.3 billion in bailout money from the federal government. Fannie Mae (FNM, Fortune 500), which is controlled by the government, reported a fourth-quarter loss of $16.3 billion, including $1.2 billion in dividend payments to the Treasury Department. This is [...]

What’s the difference between 3.5 percent down payments and 5 percent down payments? More than 300,000 home sales, the head of the Federal Housing Administration is telling Congress. FHA-insured mortgages currently require the lesser percentage, but some leaders — anxious to avoid another bailout — think the agency would be on stronger footing if it [...]

The Mortgage Bankers Association proposed a forbearance program Wednesday aimed at helping the unemployed pay their mortgages for up to nine months. Under the proposal, loan servicers would reduce eligible borrowers’ monthly payments to no more than 31% of their household income for up to nine months. Unlike a modification, however, the arrears would be [...]

The federal government’s mortgage-insurance agency is understating how much risk it has taken on, says a group of economists from the New York Federal Reserve and New York University, increasing the likelihood the agency may need taxpayer funds. The economists warn that the Federal Housing Administration—which has jumped to fill the void left by the [...]