Wednesday, April 16, 2008 - FHA Modernization and Loan Limits

The FHA Modernization Act has now passed both the Senate and House.  Now they are working on merging the two different versions of the bill before it can be put before the President for signature.

It has not been made clear whether or not the Surety Bond program, as was being previously promoted to bring in Mortgage Brokers into the origination business, will pass or what the dollar amount of the bond will be.  The program would allow Brokers to get a Surety Bond in lieu of high net worth requirements and expensive annual HUD audits.

In the meantime, the HUD loan limits have increased through December 31, 2008 to allow more people to borrow via the FHA loan program.

See the attachment for specific TX guidelines.