FHA has always been seen as a vehicle to provide needed home financing for low-to-moderate income homebuyers. Since their inception many years ago, they have served these needs quite well. It appears they now may be challenged by the new administration’s budget proposals which cut funding for some FHA programs. Dr. Ben Carson, the new Secretary of HUD, sees things…
Guild Mortgage announced their new 3-for-1 equity loan program. The borrower puts down 1% while Guild provides an additional 2% down from lender assistance. The nice thing is that the additional 2% is not a loan but rather a grant that need not be repaid. Sounds pretty good! The new program follows basic agency low down payment program guidelines including:…
The summer season is here! With Memorial Day now past and our veterans honored (hopefully not forgotten), we move on to the business of financing the spring and summer sales. By most accounts, things look good for housing and mortgage financing. The economy continues to grow, albeit at a slightly slower pace than we wanted and expected. With this growth,…
Everyone agrees that the use of technology can increase productivity while decreasing costs to operate. This is true in just about any business, including mortgage lending. So, FHA is looking to upgrade their risk management systems and requesting new administrative fees totaling $30 million to be assessed to cover some of the cost. Lenders are up in arms as they…
A recent Institute for Supply Management survey shows that, by margins of more than four-to-one, companies that were increasing their capital spending plans because of an “improved business outlook” rather than “prospects for regulatory reform.” At the same time, businesses and consumers are still awaiting evidence that President Donald Trump and Congress can quickly enact and implement legislation covering tax cuts,…
The debate continues over whether FHA should reduce their required annual or up-front mortgage insurance premiums. A prior cut was canceled by the Trump Administration. Now with markets improving, the new HUD Secretary, Dr. Ben Carson, says FHA may consider a cut. But, only if in the best interest of the FHA insurance fund and consumers. FHA delinquencies are down…
