NCSHA Letter to HUD on Modernization of Engagement with Mortgagors in Default
On September 5, 2023, NCSHA responded to the U.S. Department of Housing and Urban Development’s proposed rule on Modernization of Engagement with Mortgagors in Default. NCSHA commended HUD’s efforts to expand communication methods between mortgagees and defaulted homeowners, suggesting this expansion will improve loss mitigation efforts and home retention. Additionally, NCSHA encouraged HUD to define ‘reasonable effort’ and ‘verifiable attempt’ as broadly as possible. Upon implementation of the final rule, form HUD-2008-5-FHA Save Your Home: Tips to Avoid Foreclosure will be updated to include the expanded modes of communication.
