Hardware Retailing The Industry's Source for Insights and Information
The Federal Housing Agency is taking steps to expand access to mortgage credit for underserved borrowers.
Department of Housing and Urban Development Secretary Shaun Donovan told a gathering of the National Association on Realtors May 13 that lending to potential buyers with lower credit scores has fallen dramatically in recent years, and announced a plan for greater consumer access to credit, through a new FHA housing counseling program that will launch later this year.
The four-year, two-phase pilot program, called Homeowners Armed With Knowledge or HAWK, will offer a 50 basis point reduction in the upfront mortgage insurance premium and a 10 basis point reduction in the annual premium at the time of loan origination to first-time homebuyers who complete the program.
To read more, click here.
