Washington Report

Advocacy Updates from Washington D.C.

FHA Down Payment Assistance Changes Suspended

On July 23, 2019, the U.S. Department of Housing and Urban Development (HUD) announced, via Mortgagee Letter 19-10, the suspension of the effective date of Mortgage Letter 19-06 indefinitely.
 
Mortgagee Letter 19-06 had announced clarifying documentation requirements for government entities that provide down payment assistance to Federal Housing Administration (FHA) borrowers. The announcement of the indefinite suspension follows a ruling by a U.S. District Court in Utah judge granting a motion to delay the implementation of changes to the Federal Housing Administration’s down payment assistance rule as a debate over the new guidance continues in the courts.

Mortgagee Letter 19-10 Announcing Suspension

Mortgagee Letter 19-06 on Down Payment Assistance Requirements

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