Following the Federal Housing Administration’s announcement that it would remove the Mortgage Credit Reject requirement, Peter Idziak spoke with Forbes and National Mortgage News about how this change will affect lenders and those seeking loans.
“FHA’s requirement that lenders flag rejected loans definitely made it more difficult for prospective borrowers who had been rejected by one lender to be approved by another,” Idziak said. “We’re happy to see that FHA has rescinded the policy, as it should give applicants who were rejected by one lender the opportunity to have their application with a new lender evaluated without the bias of the past rejection.”
- Forbes Advisor: Borrowers Catch A Break As FHA Changes Mortgage Application Rule
- National Mortgage News: FHA lifts long-standing hurdle for ‘rejected’ borrowers