News & Analysis as of

FHA Loans Mortgage Lenders Department of Housing and Urban Development

Ballard Spahr LLP

HUD seeking information about impact Buy Now, Pay Later has on housing expenses

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The Department of Housing and Development is seeking information about the impact that the frequent use of Buy Now, Pay Later (BNPL) products may have on borrowers’ ability to meet housing-related expenses, including rent or...more

Winstead PC

HUD Updates FHA Loan Residency Requirements: Citizenship or Permanent Residency Now Required

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The U.S. Department of Housing and Urban Development (HUD) has issued Mortgagee Letter 2025-09, which updates the residency requirements for borrowers seeking Federal Housing Authority (FHA) insured financing....more

Ballard Spahr LLP

HUD Provides Guidance on Making FHA Loans to Borrowers With Forbearances

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In Mortgagee Letter 2020-30 dated September 10, 2020, the U.S. Department of Housing and Urban Development (HUD) provides guidance on the underwriting of applicants for FHA insured mortgage loans who were granted a previous...more

Ballard Spahr LLP

FHFA, HUD, and VA Announce Extension of Foreclosure Moratoriums Through December 31

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On August 27, 2020, the Federal Housing Finance Agency (FHFA) announced the extension of the Fannie Mae and Freddie Mac moratorium on single-family foreclosures from August 31, 2020, to December 31, 2020. The moratorium on...more

Goodwin

DOJ Settles with Mortgage Lender for $13.2 Million Concerning FHA Mortgage Certifications

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On October 19, the Department of Justice (DOJ) announced that it settled allegations that a Florida-based mortgage lender violated the False Claims Act (FCA) ?by falsely certifying that it complied with Federal Housing...more

Ballard Spahr LLP

HUD Looking to Bring Lenders Back to FHA Lending Space

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In a July 2018 interview with HousingWire, FHA Commissioner Brian Montgomery stated that the FHA wants to bring big banks back to the FHA lending space by increasing transparency and decreasing False Claims Act (FCA)...more

Goodwin

HUD OIG Announces Termination of FHA Fraud Investigation

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On September 29, the Office of Inspector General for the United States Department of Housing and Urban Development (HUD OIG) announced the termination of an investigation of a national mortgage lender relating to a purported...more

Goodwin

DOJ Announces FHA Settlements with Two Utah-Based Mortgage Lenders

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On October 3, 2016, the United States Department of Justice (DOJ) announced that two Utah-based Direct Endorsement (DE) lenders agreed to pay $5 million and $4.25 million dollars to settle separate cases relating to their...more

Goodwin

HUD/DOJ Settle with FHA Mortgage Lender for $52.4 Million Over Alleged False Claims Act Violations

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On September 13, 2016, the Department of Justice (“DOJ”) announced a settlement agreement with a bank for allegedly violating the False Claims Act by improperly underwriting and originating of FHA-insured mortgage loans. ...more

Goodwin

Another Bank Settles Claims Relating to FHA-Insured Loans with DOJ

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On August 5, an Alabama bank announced in its quarterly report that it reached an agreement in principal on a settlement amount with the Department of Justice (DOJ) on behalf of the Department of Housing and Urban Development...more

Baker Donelson

Will the DOJ Kill FHA Loans Through Their Use of the False Claims Act?

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The purpose of the Federal Housing Administration (FHA) is "to help creditworthy low income and first time homebuyers, individuals and families often denied traditional credit, to obtain a mortgage and purchase a home." This...more

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