April 15, 2015
Revised FHA Loan Housing Counseling Rules Now In Effect
In our last post, we discussed the HUD press release announcing funding for housing counseling services across the country. Earlier this month, new FHA loan rules took effect which affect a lender’s responsibility to inform borrowers of housing counseling services. The services affected by the new FHA loan rules are intended for those who are at risk of foreclosure on FHA mortgages. According to FHA Mortgagee Letter 2015-04, lenders are required to: “…provide delinquent borrowers with a notice describing the availability of housing counseling offered by HUD-approved housing counseling agencies and by the mortgagee. Mortgagees are currently required to prepare such a notice that provides the information required by FHA.” The lender is required to Mortgagees give affected borrowers all the information included in an FHA/HUD publication titled, “Notification to | more...