The Federal Housing Administration (FHA) announced that it is expanding and enhancing its set of loss mitigation options used to help borrowers struggling to make mortgage payments on their FHA-insured mortgages.
The enhancements extend FHA’s COVID-19 loss mitigation options to all eligible borrowers who fall behind on their mortgage payments, regardless of the cause of their delinquency, according to a news release from the U.S. Department of Housing and Urban Development. The department says the updates also enable mortgage servicers to use the full 30% of FHA’s partial claim option, rather than the previously permitted 25%, to help maximize the number of borrowers able to retain their homes.
“We are committed to ensuring that no FHA borrower experiences foreclosure unnecessarily,” said Assistant Secretary for Housing and Federal Housing Commissioner Julia Gordon. “FHA’s COVID-19 forbearances and streamlined COVID-19 loss mitigation options have successfully helped millions of struggling borrowers in the last two fiscal years alone.
Extend temporary COVID-19 Recovery loss mitigation options to all eligible borrowers, including non-occupant borrowers, regardless of the nature of their hardship. Servicers must assess all borrowers who are in default or who are at risk of defaulting using FHA’s COVID-19 Recovery loss mitigation “waterfall” of options.
Extend the availability of FHA’s COVID-19 Recovery loss mitigation options for 18 months past the April 30, 2023, mandatory effective date for servicers. The temporary COVID-19 Recovery options were previously scheduled to expire at the official end of the COVID-19 National Emergency. This change removes the uncertainties associated with the timing of the end of the National Emergency.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Housing market is bad — but it's worse for affordable housing buildersIf today's market is brutal for homebuilders, it's even more challenging for affordable housing builders that are already trying to push the envelope when it comes to keeping costs low for renters while also ensuring projects are financially feasible.
Read more »
Hinsdale to pay $800K to settle federal housing discrimination lawsuit over sober living facilityThe U.S. Department of Justice announced Wednesday that the Village of Hinsdale will pay $800,000 to settle a lawsuit alleging housing discrimination.
Read more »
Biden administration takes another step toward advancing a controversial oil drilling project in Alaska | CNN PoliticsThe Interior Department’s Bureau of Land Management advanced the controversial Willow oil drilling project on Alaska’s North Slope, releasing the final environmental impact statement before the project can be approved.
Read more »
Biden administration is caught between California and its neighbors in Colorado River fightThe proposal California offered Tuesday makes no significant concessions to demands from its neighbors — asserting higher priority senior water rights to the largest share of the river.
Read more »
Biden administration recommends major Alaska oil projectJUNEAU, Alaska (AP) — The Biden administration released a long-awaited study Wednesday that recommends allowing a major oil development on Alaska's North Slope that supporters say could boost U.S. energy security but that climate activists decry as a “carbon bomb.”
Read more »
Biden administration recommends major Alaska oil projectThe Biden administration has issued a long-awaited study that recommends allowing a major oil development on Alaska’s North Slope
Read more »