Articles and news about FHA loans and HUD requirements. FHA loans are great for first-time homebuyers.

Category Archives: Hope for Homeowners

Who Owns My Mortgage?

There are many reasons why you might need to take steps to learn who owns your mortgage loan. When you apply for a home loan at the lender of your choice, that financial institution “owns” your loan. But things can ...

FHA Loan Program Changes To Help Prevent Foreclosure

On Friday, April 24 2015, the FHA and HUD issued a press release detailing “significant changes” to the Distressed Asset Stabilization Program or DASP. According to HUDNo 15-048, “In an effort to better serve homeowners looking to avoid foreclosure, loan ...

FHA Loan Forbearance: A Reader Question

A reader asks, “Got fha loan for our home on Dec 2011. We have been doing fine until early 2014, we got a little behind. We have never let any payment be more than 30 days late, but we had ...

FHA Home Loan Foreclosure Avoidance Policy Changes

Recently, the FHA issued a press release announcing changes to its loss mitigation and foreclosure avoidance policies. We’ve reported on some of those changes in previous blog posts; we haven’t yet covered the FHA’s revised loss mitigation options and changes ...

FHA Foreclosure Avoidance Options

In a recent Mortgagee Letter (ML2012-22), the FHA and HUD describe a variety of changes to FHA Loss Mititgation options. “Loss Mitigation” basically refers to foreclosure avoidance programs for borrowers in trouble on their FHA mortgages. The FHA Mortgagee Letter ...

FHA Amends Loss Mitigation Policies

The FHA has announced important changes to its Loss Mitigation Home Retention options, intended as stated in FHA Mortgagee Letter 2012-22, to “reduce the number of full claims against the FHA Mutual Mortgage Insurance Fund by assisting a greater number ...

FHA Loan Foreclosure Avoidance Options

According to HUD.gov, there are a variety of options for borrowers to consider when trying to avoid FHA loan default or foreclosure. The options are not guaranteed for all borrowers–you may be required to qualify for each program depending on ...

Hope For Homeowners Program Near An End

Time is running out on the Hope For Homeowners program which is currently set to stop permitting endorsements after September 30, 2011. During the sub-prime mortgage crisis, the Hope For Homeowners program was created to help stabilize the housing market. ...

FHA Loans and Foreclosure: a Timeline

With home foreclosures still in the news even several years after the housing crisis of 2008, we've written a fair amount on topics related to foreclosure on FHA home loans. Default and foreclosure are often preventable if the buyer takes action early; in some cases a simple bit of additional information is the only thing a borrower needs to take action that can save the home. Missing one FHA mortgage loan payment isn't good, but it is not the end of the world if the buyer contacts the loan officer and the FHA to discuss next steps. But what happens when the buyer misses the a second payment? The FHA says when the second payment in a row is missed, the bank will definitely reach out to the homeowner, but many make the mistake of avoiding these phone calls or e-mails.

FHA Loans: How Many Payments Can Be Missed Before Foreclosure Starts?

When FHA borrowers get into financial trouble, the best thing to do is to get in touch with the FHA and the lender immediately to start damage control. This helps avoid the borrower going into default or foreclosure on the FHA loan. Some borrowers mistakenly think that they are in foreclosure territory after missing one or two payments--but many more wrongly believe they have much more time even after missing two or more payments before the foreclosure proceedings start. The truth is that the foreclosure often varies depending on the state and the lender. How much time does a borrower have before going into default and foreclosure in general?