The success of the Section 203(k) program depends on reforms that would make it more accessible for borrowers and operationally feasible for lenders, according to the Mortgage Bankers Association.

The Mortgage Bankers Association wants FHA to extend to all lenders certain documentation waivers recently made available to Reverse Mortgage Funding transferees.

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 reverse-mortgage market was virtually glowing last year, with production increasing 24.6% to a whopping $29.65 billion. But much of that activity was front-loaded in the first six months. (Includes three data charts.)

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.

The interest rate on VA’s Native American Direct Loan program has been lowered to 2.5% for the next two years.

FHA finalized a permanent stand-alone 40-year loan modification option for distressed borrowers.

The proposed changes are tied to registration of branch offices where lenders are authorized to conduct FHA business and to applicable fees.

Ginnie Mae has reduced the required minimum size for mortgage-backed securities pools with home-equity conversion mortgages from $1.0 million to $250,000.

FHA is taking comments through April 17 on a request for information on the barriers consumers and lenders face in accessing the FHA 203(k) rehabilitation mortgage program.