According to Dave Stevens, a former FHA commissioner, DPA provided by government entities, such as Chenoa, is one of the only scalable options to help those without the means to purchase a property.

At the very least, refi lenders see their profit margins suffering because of the new edict. But will the GSEs (and the FHFA) hear their pleas?

The CFPB brought just 11 enforcement actions in 2018...

But can MBA and other outraged trade groups do anything to stop this new LLPA? “We hope to rescind it,” said MBA's Bob Broeksmit...

For HUD, the central question boils down to this: Will the MMIF have enough cash on hand to weather what could turn out to be a delinquency tsunami on the FHA book of business?

The trade group also argues the patch should not be tied to the end of GSE conservatorships...

Meanwhile, Black Knight reported that an estimated 500,000 mortgage forbearance plans were set to expire at the end of July...

Altisource added: “We anticipate this short- to medium-term pressure on our default related businesses to continue with governmental forbearance programs and moratoriums temporarily preventing servicers from pursuing foreclosure of delinquent loans..."

Apartment dwellers must be given the “flexibility” to repay back rent over time. However, the new guidance shouldn’t be interpreted by tenants as a get-out-of-jail-free card. As FHFA Director Mark Calabria put it: “If tenants are able to pay their rent, they should continue to do so.”