Good Faith Exactimate, Merry Christmas and Happy New Year:)

January 1st, 2010 all loans will be subject to the new Good Faith Estimate designed to make it easier to understand. More Details soon. If you are going to get a loan after the first make sure that you understand the new Good Faith Estimate.

HUD making Changes to FHA lending?

I am certain that by now you have heard that there are some changes that are beginning to take place with FHA financing. I am certain that you have heard that they are Bankrupt or that their reserves are diminishing at a rapid pace. I am also certain that you have heard that FHA will be adopting the HVCC as of January 1st.

How much of it is True? What affect will it have on the housing market? Does any of it affect the loan that I have with them?

I am sure that there are a dozen other questions that are going to arise from the headlines and the many blogs that are posted pre-maturely from professionals wanting to be the first to give you the information. Please be aware that all changes that will go into effect will come in the form of a Mortgagee letter. If you do not read it from a m0rtgagee letter do not give it a ton of thought. Even if you read it here it should contain a link to the mortgagee letter directly on HUD’s site. Click here to go to the HUD Site. They have published several mortgagee letters.

Changes include but may not be limited to:

• Appraiser Independence
• Appraiser Portability
• Appraisal Validity Periods
• Strengthening Counterparty Risk Management
• Revised Streamline Refinance Transactions
• Annual Base City High Cost Percentage Revisions