Industry News

HUD streamlines FHA real estate loan process

New fast-track process aims to cut loan-processing time, costs

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The Department of Housing and Urban Development has streamlined the process for originating Federal Housing Administration (FHA) mortgages with a new Lender Insurance Program. The new program enables high-performing lenders to endorse FHA mortgage loans for insurance without a pre-endorsement review by HUD, the agency said Monday. This expedited procedure is part of HUD's overall effort to make FHA loan processing easier and more cost-efficient so that lenders will be better able to offer FHA-insured loans and expand the affordability of affordable financing for potential home buyers, according to the agency."We're taking a giant leap forward in creating a more user-friendly loan origination process for our lending community," said Assistant Secretary for Housing-Federal Housing Commissioner, Brian D. Montgomery. "We can cut costs and processing time for lenders and give more homebuyers the opportunity to choose FHA mortgages when, in many cases, they are a better fit for their circu...