Yesterday afternoon, Fannie Mae introduced the HomeReady™ product, a new lending option for low- and moderate-income borrowers. This new initiative will replace Fannie Mae’s MyCommunityMortgage® products, which are currently the firm’s primary offering for low-income consumers.
On August 24, the Federal Housing Administration (FHA) announced two new policies designed to promote energy-efficient single-family housing. This announcement was part of a broader set of green energy initiatives that the Obama Administration announced the same day.
Last week, Moody's Investors Service (Moody's) released a report projecting the impact a surge in millennial homebuyers will have on state Housing Finance Agencies (HFAs). Moody's concludes that if home purchases by millennials were to increase by 20 percent, HFAs would originate an additional 12,800 loans for the sector and an average of 300 additional loans per year.
The Federal Housing Finance Agency (FHFA) adopted a final rule yesterday establishing affordable housing goals for the government sponsored enterprises (GSEs) Fannie Mae and Freddie Mac for 2015 through 2017. The final rule increases the GSEs’ affordable single-family and multifamily goals from those FHFA initially proposed in August 2014.
Over the past few weeks, the HOME Coalition -- led by the National Council of State Housing Agencies (NCSHA) --- has spread the word about the need to protect and restore funding for the HOME Investment Partnerships Program (HOME).
The Department of Housing and Urban Development (HUD) recently announced the availability of funds under its Rural Capacity Building for Community Development and Affordable Housing Grants program. The Rural Capacity Building program is a way HUD recognizes the vital role nonprofit organizations play in implementing community-building programs like the Community Development Block Grant Program (CDBG) and the HOME Investment Partnerships Program, especially in rural areas.
Earlier this week, the United States Department of Agriculture's (USDA) Rural Housing Service (RHS) announced the application schedule for the next round of Multifamily Preservation and Revitalization (MPR) funds. MPR is a demonstration program designed to preserve and revitalize rural rental housing projects under Section 514, Section 515, and Section 516 of the Housing Act of 1949.
Senate leaders have removed a provision that would have rescinded unobligated Hardest Hit Fund (HHF) program funds from a transportation reauthorization bill (the DRIVE Act) that it is currently considering. NCSHA summarized the now-deleted provision in a blog post published yesterday.
The U.S. Government Accountability Office (GAO) yesterday released its report on federal oversight of the Low Income Housing Tax Credit program, which concludes that there are deficiencies in the Internal Revenue Service’s (IRS) oversight of the program and recommends that Congress consider designating HUD as a joint administrator of the program.
Last night, the Senate voted 62-36 to begin consideration of the DRIVE Act (H.R. 22), which would reauthorize the federal Highway Trust Fund and other surface transportation programs for six years. To pay for the reauthorization, the bill includes several provisions that impact HFAs and the housing market.
Senate Finance Committee Extends 9 Percent Housing Credit Minimum Rate and Establishes 4 Percent Minimum Rate for Aquisition
On July 21, the Senate Finance Committee approved legislation extending for two years various tax provisions that expired at the end of 2014, including the minimum 9 percent Housing Credit rate. The legislation also would establish for the first time a minimum 4 percent Credit rate for acquisition. The minimum rates would apply retroactively to the start of 2015 and prospectively for allocations made before January 1, 2017. The minimum 4 percent rate would not apply to bond-financed developments.
On July 16, HUD published the Affirmatively Furthering Fair Housing (AFFH) final rule in the Federal Register. HUD published the AFFH final rule on its website on July 8, but the rule’s official publication is the date on which it appears in the Federal Register. The rule replaces the current Analysis of Impediments requirement with a new Assessment of Fair Housing requirement for HUD participating jurisdictions.