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FHA Ups Deadline.(Federal Housing Administration)(Brief Article)
The Federal Housing Administration is proposing to shorten the remittance period for upfront mortgage insurance payments from 15 to three days, but lenders contend that may be cutting it too close.
When FHA borrowers pay a "one-time" and "upfront" mortgage insurance premium at closing, the lender is required to electronically transfer the MIP to the Department of Housing and Urban Development within 15 days.
HUD contends that the 15-day remittance is no longer necessary and it should be shortened to improve efficiencies and prevent abuses. ...
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With subprime practically gone and lending down across the board, lenders are jumping on the Federal Housing Administration (FHA) bandwagon as an alternative. The share of government-insured mortgages tripled from 8.4 percent...
Source: HighBeam Research, FHA Ups Deadline.(Federal Housing Administration)(Brief Article)