by Bill McBride on 11/17/2014 12:59:00 PM
Monday, November 17, 2014
Update: Here is the summary Summary of FY2014 FHA Annual Report to Congress on the Financial Health of the Mutual Mortgage Insurance Fund
Joe Light at the WSJ writes: Federal Housing Authority in the Black for First Time Since 2011
The audit found that the FHA’s insurance fund had an economic value of $4.8 billion at the end of September, up from negative $1.1 billion last fiscal year. Its capital-reserve ratio, which the FHA is supposed to keep above 2%, grew to 0.41%. While an improvement, it was still short of last year’s projection.Recent FHA loans have performed very well, and the better performance combined with higher fees has led to the improvement.
More important, the report estimated that the FHA won’t return to the congressionally mandated 2% threshold until 2016, a year later than formerly estimated.
Posted by Bill McBride on 11/17/2014 12:59:00 PM