– Released Wednesday, January 20, 2010–
FHA Announces Policy Changes to Address Risk and Strengthen Finances
New Measures Will Help FHA Better Manage Risk, While Maintaining Support for the Housing Market and Access for Undeserved Communities
4 Policy changes announced:
- Mortgage insurance premium (MIP) will be increased to build up capital reserves and bring back private lending
- Update the combination of FICO scores and down payments for new borrowers.
- Reduce allowable seller concessions from 6% to 3%
- Increase enforcement on FHA lenders
Click here to access the full article from HUD. This article lists all of the “details” of the four changes listed above.
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