Home sellers have become more receptive to FHA offers now that the market has started to cool, according to Black Knight Vice President Andy Walden.

FHA is taking feedback through April 27 on a draft mortgagee letter proposing the use of rental income from accessory dwelling units to calculate borrowers’ eligibility for a home loan.

The industry largely asked FHA to align the policies of the Section 203(k) rehabilitation loan program with those of the government-sponsored enterprises.

Although the COVID-19 national emergency was terminated earlier this week, the trend of remote work among mortgage loan officers continues to grow.

The proposed rule is meant to help borrowers in loss mitigation by eliminating the Mortgage Recovery Advance’s second-lien requirement.

There are separate toolkits for conventional loans and those backed by the government housing agencies.

The updated UAD is supposed to improve the accuracy and efficiency of the appraisal process, but lenders worry it will add significant costs to the mortgage process.

Industry stakeholders have welcomed the FHFA’s plan to make payment deferrals a regular part of loss mitigation. MBA suggested more standardization of workout options is in order.

Although the share of Ginnie Mae loans in forbearance decreased to 1.28% in February from 1.37% the prior month, there are still concerns about FHA/VA loan performance.

The Mortgage Bankers Association recommended the Department of Housing and Urban Development publish its proposed Section 184 guidelines in a policy handbook similar to FHA’s rather than in a Code of Federal Regulation.