[Federal Register Volume 79, Number 196 (Thursday, October 9, 2014)]
[Proposed Rules]
[Pages 61020-61021]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-24069]
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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
24 CFR Chapter II
[Docket No. FR-5817-N-01]
Federal Housing Administration (FHA): Solicitation of Comment on
Streamline Refinance Provisions in the FHA Single Family Housing Policy
Handbook
AGENCY: Office of the Assistant Secretary for Housing--Federal Housing
Commissioner, HUD.
ACTION: Solicitation of comment.
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SUMMARY: On September 30, 2014, FHA issued the FHA Single Family
Housing Policy Handbook section for Title II Insured Housing Programs
Forward Mortgages: Origination through Post-Closing/Endorsement,
Handbook 4000.1. The goal of the new FHA Single Family Housing Policy
Handbook (Handbook) is to streamline and ease the implementation of
FHA's various programs by consolidating and organizing all of FHA's
Single Family policy into one document. FHA will be issuing other
individual sections of the Handbook as they are completed. As part of
the consolidation of policy pertaining to streamline refinance
transactions, FHA has taken the opportunity to integrate the language
pertaining to streamline refinance transactions in Mortgagee Letters
2013-29, 2011-11, 2009-32 and 2008-40 into a refined mortgage payment
history and calculation of the maximum insurable mortgage for the
streamline refinance program. Prior to adopting in the Handbook as
final this refined maximum insured mortgage calculation for streamline
refinance transactions, HUD seeks public comment on this language as
presented in the Handbook.
DATES: Comment Due Date: November 10, 2014.
ADDRESSES: Interested persons are invited to submit comments regarding
this document to the Regulations Division, Office of General Counsel,
Department of Housing and Urban Development, 451 7th Street SW., Room
10276, Washington, DC 20410-0500. Communications must refer to the
above docket number and title. There are two methods for submitting
public comments. All submissions must refer to the above docket number
and title.
1. Submission of Comments by Mail. Comments may be submitted by
mail to the Regulations Division, Office of General Counsel, Department
of Housing and Urban Development, 451 7th Street SW., Room 10276,
Washington, DC 20410-0500.
2. Electronic Submission of Comments. Interested persons may submit
comments electronically through the Federal eRulemaking Portal at
www.regulations.gov. HUD strongly encourages commenters to submit
comments electronically. Electronic submission of comments allows the
commenter maximum time to prepare and submit a comment, ensures timely
receipt by HUD, and enables HUD to make them immediately available to
the public. Comments submitted electronically through the
www.regulations.gov Web site can be viewed by other commenters and
interested members of the public. Commenters should follow the
instructions provided on that site to submit comments electronically.
Note: To receive consideration as public comments, comments must
be submitted through one of the two methods specified above. Again,
all submissions must refer to the docket number and title of the
document.
No Facsimile Comments. Facsimile (FAX) comments are not acceptable.
Public Inspection of Public Comments. All properly submitted
comments and communications submitted to HUD will be available for
public inspection and copying between 8 a.m. and 5 p.m. weekdays at the
above address. Due to security measures at the HUD Headquarters
building, an appointment to review the public comments must be
scheduled in advance by calling the Regulations Division at 202-708-
3055 (this is not a toll-free number). Individuals with speech or
hearing impairments may access this number via TTY by calling the
Federal Relay Service at 800-877-8339. Copies of all comments submitted
are available for inspection and downloading at www.regulations.gov.
FOR FURTHER INFORMATION CONTACT: Elissa Saunders, Deputy Director,
Office of Single Family Program Development, Office of Housing,
Department of Housing and Urban Development, 451 7th Street SW., Room
9278, Washington, DC 20410; telephone number 202-708-2121 (this is not
a toll-free number). Persons with hearing or speech impairments may
access this number through TTY by calling the toll-free Federal Relay
Service at 800-877-8339.
SUPPLEMENTARY INFORMATION:
Payment history standards related to streamline refinances are
currently found in Handbook HUD 4155.1, entitled Mortgage Credit
Analysis for Mortgage Insurance on One- to Four-Unit Mortgage Loans, in
sections 3.A.1.h., but have subsequently been modified by Mortgagee
Letters, including those referenced above. The Maximum Insurable
Mortgage Calculation for streamline refinances is found in section
3.C.2.c.
In an effort to ease program implementation and reduce burden on
lenders, servicers, borrowers, and interested members of the public,
FHA, as noted in the Summary of this document, is consolidating and
reorganizing its guidance into a new, comprehensive FHA Single Family
Housing Policy Handbook (Handbook), which, once effective, will
supersede all mortgagee letters and prior handbook provisions whose
content has been incorporated into the Handbook. This consolidation and
reorganization alleviates unnecessary burdens on lenders, servicers,
and borrowers who have had to keep track of individual policy changes
published in individual mortgagee letters, and gives all interested
parties one place to find important program requirements.
The Handbook section for Title II Insured Housing Programs Forward
Mortgages--Origination through Post-Closing/Endorsement was issued on
September 30, 2014, at http://portal.hud.gov/hudportal/documents/huddoc?id=40001HSGH.pdf and will be effective for case numbers assigned
on or after June 15, 2015. Due to the timing of the pre-scheduled
release of the Handbook and the complexity of incorporating and
organizing the various guidance documents for streamline refinances
noted above, and eliminating extraneous examples, HUD has opted, in an
abundance of caution, to seek public comment on the refined maximum
mortgage amount calculation provision and payment history for the
streamline refinance program which can be found in Paragraphs (4)(b)
and (j) of II.A.8.d.vi.(C) ``Streamline Refinances'' in the Title II
Insured Housing Programs Forward Mortgages section of the Handbook. The
public comments received on these provisions will be given
consideration, and notification will be provided of changes, if any,
made to this section of the Handbook.
Given the significant transition period that FHA is providing
between the posting of the Handbook and the effective date of the
Handbook, FHA does not anticipate having to change the effective date
as a result of any changes
[[Page 61021]]
that may be made to the streamline refinance section of the Handbook.
Dated: October 3, 2014.
Carol J. Galante,
Assistant Secretary for Housing--Federal Housing Commissioner.
[FR Doc. 2014-24069 Filed 10-8-14; 8:45 am]
BILLING CODE 4210-67-P