May 15, 2008
FHA’s business is booming
15 May 2008
Posted by Andrew Kantor
Originations and loans are both way up. From the National Mortgage News Daily Briefing:
Federal Housing Administration single-family mortgage originations took off
in the first three months of this year, as FHA applications doubled to 181,900
between Dec. 31 and the end of March, according to Department of Housing
and Development data.
The data also show that FHA-insured loans jumped by 64%, to 89,000,
from December to March. Mortgage banking consultant Brian Chappelle
estimates that FHA lenders are now taking 200,000 FHA mortgage applications
per month and insuring 100,000 loans per month.
There are concerns that the FHA might not be able to handle the increase in
business. But Mr. Chappelle said the FHA direct-endorsement lenders manage
the whole approval process. From an origination standpoint, "there are no
backlogs because the lender controls the process," he said. Mr. Chappelle
is with Potomac Partners in Washington.
This means that more than ever it’s important to keep up to date on what the FHA can do for you — heck, it’s your tax dollars at work!
Ergo, you should set aside some time and some popcorn and watch VAR’s webcast, "Mortgage Lending in 2008: Back to the Future, How FHA can help you and your clients."