With a healthy reading on FHA’s Mutual Mortgage Insurance Fund, lender trade groups want further changes to FHA’s mortgage insurance premium policy. (Includes data table.)
The MBA and other trade groups are urging Senate and House leadership to make sure funding and authorization for the National Flood Insurance Program doesn’t lapse on Nov. 17.
The mortgage industry generally supports the limited scope of the rule. But consumer advocates believe FIRREA calls for a broader scope, including AVMs used by licensed appraisers.
FHA raises large multifamily loan limits; VA moves regional loan center email systems; USDA issues standardized multifamily appraisal assignment guidance; HUD opens independent Office of Manufactured Housing Programs; USDA sets new interest rates for single-family direct home loan programs; and more.
Between 2015 and 2022, the private mortgage industry transferred more than $20.8 billion of risk exposure via the issuance of 51 insurance-linked notes through the capital markets.
FHA lending is concentrated on borrowers with loan-to-value ratios greater than 95%, while private MI activity is focused on borrowers with LTV ratios between 85% and 95%, according to an analysis by Inside FHA/VA Lending of agency mortgage-backed securities disclosures.
The bipartisan Middle-Class Mortgage Insurance Premium Act was reintroduced in the House last week by Reps. Vern Buchanan, R-FL, and Jimmy Panetta, D-CA.
White House releases budget request; MBA seeks clarifications from FHA on expanded COVID loss-mitigation options; MBA asks VA to consider appraisal-related policy reforms; HUD finalizes rule removing LIBOR as approved index for FHA ARMs; House bill seeks to make permanent mortgage insurance premium tax deduction.
Will lower FHA premiums steal market share from the GSEs? According to analysts, private mortgage insurer pricing still makes the GSEs the better execution for borrowers with credit scores over 680. But private MIs are still nervous.