Loan Articles

Fha has released news that they have changed their loan modification and loss mitigation programs. These changes will apply to borrowers who are in serious delinquency. The changes will give homeowners additional latitude to help fix delinquent payments.


For FHA Loan modifications, banks and service companies are able to use the ten year treasury maturity to decipher the maximum interest rate. Many banks have also expressed to FHA that the foreclosure expenses are preventing many homeowners with FHA loans from qualifying for a modification. Several homeowners who can make the original mortgage payment are not able to pay the foreclosure fees after a notice of default has been issued. Because of this issue, they will now allow foreclosure expenses to be wrapped into a loan modification.