FHA issued a mortgagee letter regarding automatic extensions to HUD’s initiation of foreclosure timeline. This mortgagee letter provides updated guidance relating to HUD’s regulatory requirement for mortgagees to utilize a loss mitigation option or initiate foreclosure within 6 months of the date of default. Specifically, this mortgagee letter: reiterates the existing 8 automatic extensions available to mortgagees when they are unable to initiate foreclosure within the allotted timeframe; and introduces 2 new automatic extensions to align with the CFPB’s Regulation X.
VA
VA Offers 40-Year Loan Modification Option
VA issued Circular 26-24-08 to offer a 40-Year Loan Modification option to assist borrowers in reaching an affordable payment in the current environment of rising