New FHA Commissioner Brian Montgomery this week revealed that he’s in a “fix it” mode to preserve the government mortgage insurer for “generations to come.” In a wide-ranging interview with Inside FHA/VA Lending and other members of the trade press, Montgomery made it clear his goal is to make sure the Mutual Mortgage Insurance Fund – which backstops agency loans – remains in the black and above its minimum capital reserve ratio of 2.0 percent. During the interview, however, he hardly mentioned the MMIF by name but set parameters on what he would be willing to change at FHA. All his positions seem aimed at preserving and growing the fund’s cash position. First and foremost, there likely will be no cut in FHA premiums this year. Also, don’t count on any risk-sharing arrangements with private mortgage insurance firms. And last, the thought of ending the “life of loan” coverage that ...