On June 23, 2026, the HUD announced fourteen strategic policy revisions to the FHA Single Family mortgage insurance program. These updates are designed to lower consumer costs, alleviate regulatory burdens, and bolster affordability for individuals pursuing FHA-insured financing.
Spanning the mortgage lifecycle from origination through servicing and quality oversight, the updates include:
Optimizing Appraisal Field Review Protocols. This initiative reduces high-cost quality control requirements that average $425 per review, potentially saving industry stakeholders $3.3 million per year while improving program alignment.
Enhancing the Limited 203(k) Rehabilitation Program. The Department has increased the maximum number of contractor draw requests, facilitating easier completion of home renovation projects.
Modernizing Mortgagee Approval and Oversight. These changes permanently exempt early payment defaults caused by natural disasters from standard quality control samples, thereby reducing costs and expanding access for smaller lenders.
Rescinding Duplicative Disclosure Forms. HUD has eliminated the requirement for lenders to utilize the Important Notice to Homebuyers Form 92900-B to simplify the closing experience.
Refining Loss Mitigation for Trial Payment Plans. The update clarifies requirements to protect the FHA Mutual Mortgage Insurance Fund, implementing safeguards to prevent system abuse while ensuring proactive borrowers are not penalized.
Read the HUD’s announcement here.