FHA blames reverse mortgages for $1.7B bailout request

The Federal Housing Administration, facing losses of $5 billion related to its reverse mortgage program this fiscal year, is planning to withdraw $1.7 billion from the U.S. Treasury to help balance its books before fiscal year 2013 ends on Monday, Federal Housing Administration Commissioner Carol Galante told the U.S. Congress in writing today.

Congress does not need to approve the withdrawal, according to ABC News.

Source: ABC News