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HUD/OH RIN: 2502-AJ60 Publication ID: Spring 2022 
Title: Revising Requirements for Investing Mortgagees and Classification of the Government Sponsored Enterprises as Investing Mortgagees (FR-6291) 

Currently, under 24 CFR 202.9, Investing Mortgagees must meet all general approval requirements in 24 CFR 202.5.  Certain general approval requirements are not reflective of the risk posed by Investing Mortgagees, and others can be obstacles that impede or prevent new Investing Mortgagees. This rule would revise the requirements that Investing Mortgagees must meet to gain and maintain status as FHA approved lenders to make the standards commensurate with Investing Mortgagees’ risk, reduce barriers to approval for new Investing Mortgagees, and increase access to capital for all FHA approved mortgagees. 

Additionally, under current FHA regulations, Freddie Mac (the Federal Home Loan Mortgage Corporation) and Fannie Mae (the Federal National Mortgage Association), (collectively the Government Sponsored Enterprises (GSEs)) have authority to become FHA approved lenders.  FHA lenders are authorized to originate, underwrite, close, endorse, service, purchase, hold, or sell FHA-insured Mortgages. The GSEs are chartered by the U.S. Congress to provide a stable source of liquidity for home purchases, refinances of existing home mortgages and the financing of multi-family rental housing. The GSEs’ federal charters limit their operations to the secondary mortgage market to purchase and securitize mortgage loans originated by lenders into mortgage-backed securities, which are guaranteed by the GSEs.  This proposed rule would reclassify the GSE as investing mortgagees to align their authorized FHA activities with the activities authorized in their charters.

Agency: Department of Housing and Urban Development(HUD)  Priority: Other Significant 
RIN Status: Previously published in the Unified Agenda Agenda Stage of Rulemaking: Proposed Rule Stage 
Major: No  Unfunded Mandates: No 
CFR Citation: 24 CFR 202.9    24 CFR 202.10   
Legal Authority: 12 U.S.C. 1703    12 U.S.C. 1709    12 U.S.C. 1735f-11    42 U.S.C. 3535(d)   
Legal Deadline:  None
Action Date FR Cite
NPRM  04/00/2023 
Regulatory Flexibility Analysis Required: No  Government Levels Affected: Federal 
Small Entities Affected: No  Federalism: No 
Included in the Regulatory Plan: No 
RIN Data Printed in the FR: No 
Agency Contact:
Joy Hadley
Director, Office of Lender Activities and Program Compliance
Department of Housing and Urban Development
Office of Housing
451 Seventh Street SW,
Washington, DC 20410
Phone:202 402-8214