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FHA issues Mortgagee Letter modifying conflict of interest and dual employment policies

In Mortgagee Letter 2022-22 dated December 15, 2022, the FHA announced updates to its Single Family Housing Policy Handbook (HUD Handbook 4000.1) that modifies its policies governing conflicts of interest and dual employment....more

Ginnie Mae Report Includes Recommendations to Improve VA Loan Program

Ginnie Mae advises in the report that in early 2016 it and investors in Ginnie Mae guaranteed MBS “first began to identify a wave of early loan repayments and serial refinancing as a problem with much greater incidence in VA...more

HUD announces 2023 loan limits for FHA forward mortgages and HECMs

The U.S. Department of Housing and Urban Development (HUD) recently announced the 2023 loan limits for FHA insured forward mortgage loans and FHA insured Home Equity Conversion Mortgages (HECMs).  The announcements were made...more

HUD Issues Final Rule Permitting Private Flood Insurance with FHA Loans

The U.S. Department of Housing Urban Development (HUD) recently issued a final rule permitting the use of private flood insurance policies with FHA-insured mortgage loans. HUD also issued Mortgagee Letter 2022-18 addressing...more

NCRC Files Appraisal Bias Complaints with HUD and Issues a Related Report

The National Community Reinvestment Coalition (NCRC) recently filed two complaints against appraisers with the Department of Housing and Urban Development asserting different treatment based on race in violation of the Fair...more

HUD Announces Consideration of Positive Rental History for FHA Purchase Loans

For forward Federal Housing Administration (FHA) insured purchase mortgage loans made to first-time homebuyers, the U.S. Department of Housing and Urban Development (HUD) recently announced in Mortgagee Letter 2022-17 the...more

DOJ announces settlement of redlining lawsuit

The Justice Department announced that it has entered into an agreement with Lakeland Bank to settle the DOJ’s claims that Lakeland engaged in unlawful redlining in the Newark, New Jersey metropolitan area. The DOJ’s lawsuit...more

HUD Announces Unique Entity Identifier Requirement for FHA Lenders

In Mortgagee Letter 2022-14 , dated August 23, 2022, the U.S. Department of Housing and Urban Development (HUD) announced a Unique Entity Identifier (UEI) requirement for Federal Housing Administration (FHA) lenders and...more

A Close Look at the Justice Department’s Settlement with Meta (Formerly Facebook) to Resolve Alleged Fair Housing Act Violations... [Video]

After reviewing the developments leading up to the settlement, we examine the aspects of Facebook’s advertising delivery system that were alleged to be discriminatory. We then discuss the terms of the settlement, including...more

HUD Provides New Flexibility For Calculating Effective Income for FHA Loan Applicants Affected by a COVID-19 Related Economic...

In Mortgagee Letter 2022-09 dated July 7, 2022, the U.S. Department of Housing and Urban Development (HUD) sets forth new flexibility in underwriting guidelines for calculating effective income for Federal Housing...more

Justice Department announces settlement with Meta (formerly Facebook) to resolve alleged FHA violations arising from Meta’s...

The Department of Justice announced that it has entered into a settlement with Meta Platforms Inc., formerly known as Facebook Inc., to resolve allegations that Meta engaged in discriminatory advertising in violation of the...more

CFPB and other federal agencies address appraisal discrimination

The CFPB’s Fair Lending Director, together with senior officials from other federal agencies, have sent a letter to The Appraisal Foundation (TAF) commenting on proposed changes to the Uniform Standards of Professional...more

HUD Addresses FHA Loan Eligibility of DACA Recipients and Documentation Requirements For Certain Other Non-Permanent Residents

The U.S. Department of Housing and Urban Development (HUD) recently addressed eligibility for FHA mortgage loans for Deferred Action for Childhood Arrival (DACA) recipients in Mortgagee Letter 2021-12. As previously reported,...more

HUD Issues Charge of Discrimination Against Mortgage Modification Companies

The U.S. Department of Housing and Urban Development (HUD) recently issued a charge of discrimination under the Fair Housing Act (Act) against Louis Liberty & Associates, a PLC dba The House Lawyer, Liberty & Associates, a...more

President Biden Issues Executive Order Directing HUD to Review Fair Housing Act Disparate Impact Rule

In a memorandum issued on January 26, 2021, President Biden has ordered the Secretary of the U.S. Department of Housing and Urban Development (“HUD”) to “as soon as practicable, take all steps necessary to examine the effects...more

DACA Status Recipients Now Eligible for FHA Mortgage Loans

The U.S. Department of Housing and Urban Development announced on January 20, 2021 that effective January 19, 2021 individuals who are classified under the “Deferred Action for Childhood Arrivals” program (DACA) with the U.S....more

1/22/2021  /  DACA , Fair Housing Act (FHA) , HUD , Mortgages , USCIS

HUD Extends Effective Date for FHA Loan COVID-19 Guidance

In Mortgagee Letter 2020-40, the U.S. Department of Housing and Urban Development (HUD) extended the effective date for certain guidance related to the COVID-19 national emergency from November 30, 2020, to December 31, 2020....more

HUD Proposes Rule to Permit Use of Private Flood Insurance Policies with FHA Loans

The U.S. Department of Housing Urban Development (HUD) announced a proposed rule to permit the use of private flood insurance policies with FHA mortgage loans. As previously reported, in February 2019 federal regulators...more

Massachusetts federal court stays effective date and enjoins enforcement of HUD final rule revising FHA disparate impact...

On October 25, a Massachusetts federal district court entered a preliminary injunction staying and postponing the effective date of the final rule issued by HUD last month (“2020 Rule”) revising its 2013 Fair Housing Act...more

HUD issues final rule revising its FHA disparate impact standards to reflect SCOTUS Inclusive Communities decision

On September 4, 2020, the Department of Housing and Urban Development (“HUD”) issued a final rule revising its 2013 Fair Housing Act (“FHA”) disparate impact standards (“2013 Rule”) to reflect the U.S. Supreme Court’s 2015...more

CFPB Files First Ever Redlining Complaint Against a Non-Bank Mortgage Lender

On July 15, 2020, the CPFB filed a complaint in federal court against Townestone Financial, Inc. (Townestone) representing the first ever redlining complaint against a non-bank mortgage lender. ...more

HUD publishes proposed revisions to disparate impact rule

HUD’s proposed revisions to its disparate impact rule were published in today’s Federal Register.  Comments on the proposal are due on or before October 18, 2019. ...more

Proposed changes to HUD disparate impact rule would create new burden-shifting framework to reflect Inclusive Communities

The Department of Housing and Urban Development is expected to soon release proposed revisions to its 2013 rule under which HUD or a private plaintiff can establish liability under the Fair Housing Act (FHA) for...more

HUD Seeks Comment on Disparate Impact Rule

The U.S. Department of Housing and Urban Development (HUD) has issued an advance notice of proposed rulemaking (ANPR) seeking comment on whether its 2013 Disparate Impact Rule (Rule) should be revised in light of the 2015...more

HUD to Seek Comment on Whether Disparate Impact Rule is Consistent With Supreme Court Decision

The U.S. Department of Housing and Urban Development (HUD) recently announced that it will “formally seek the public’s comment on whether its 2013 Disparate Impact Regulation is consistent with the 2015 U.S. Supreme Court...more

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