Director, Office of Single Family Asset Management

2502-AJ03 201410 The Regulatory Plan and the Unified Agenda of Federal Regulatory and Deregulatory Actions 2502 Office of Housing OH 2500 Department of Housing and Urban Development HUD FHA Single Family Mortgage Insurance: Removal of the Inspector Roster and 10-Year Protection Plan Requirements for High Loan-to-Value Ratio Mortgages (FR-5457)

This rule would streamline the inspection and home warranty requirements for FHA single family mortgage insurance. First, HUD would remove the regulations for the FHA Inspector Roster (Roster). The Roster is a list of inspectors selected by FHA as eligible to determine if the construction quality of a one- to four-unit property is acceptable as security for an FHA-insured loan. HUD's regulations currently require the use of an inspector from the Roster as a condition for FHA mortgage insurance. HUD's removal of the Roster regulations is based on the recognition of the sufficiency and quality of inspections carried out by local jurisdictions. Second, this rule would also remove the regulations requiring 10-year protection plans required in order to qualify for high loan-to-value (LTV) FHA-insured mortgages as a condition of closing for newly constructed single-family homes. The Housing and Economic Recovery Act of 2008 removed the statutory requirement for a warranty plan and other special requirements for high LTV. High LTV mortgages would now be governed solely by the inspection requirements in this rule because the inspection requirements would apply to all new construction, regardless of LTV ratio.

]]> Other Significant Previously Published in The Unified Agenda Final Rule Stage No No 24 CFR 200 24 CFR 203 12 USC 1702 to 1715z-21 42 USC 3535(d) No NPRM 02/06/2013 78 FR 8448 NPRM Comment Period End 04/08/2013 Final Rule 02/00/2015 Includes Retrospective Review under Executive Order 13563. No No None No No No No Elissa Saunders Director, Office of Single Family Asset Management 2502 Office of Housing OH 202 402-2378 100 South Charles Street , 11th Floor, Baltimore MD 21201