MHI Week In Review — August 26, 2011

Mhi week in review postdommanufacturedhomepronews com

FHA Unveils New Loan Limits

Last week, the Federal Housing Administration (FHA) released new maximum loans limits that will be effective 0ctober 1, 2011 through December 31, 2011.

As a result, and barring Congressional action to extend the existing higher conforming loan limits, all purchase, traditional and home equity conversion mortgages (HECMs) to HECOM refinance mortgages insured on or after October 1, cannot exceed 150 percent of the national conforming loan limit of $417,000.

The lower FHA loan limits are expected to impact roughly 670 or the 3,334 counties (or county equivalents) that are eligible for FHA insurance.

To view FHA’s notice click here

or for more information on the FHA loan limits, click here

White House Unveils Regulatory Reform Plan

On August 23, the administration announced a plan to reform federal agency regulations designed to save $10 billion over the next five years. The plan is a result of an executive order issued in January tasking all federal agencies to reduce regulatory expenses.

The bulk of the savings comes from reducing regulatory and reporting requirements within the Departments of Health and Human Services ($4 billion) and Labor ($2.5 billion). The plan also details a number of regulatory reforms within the Department of Housing and Urban Development (HUD) and Environmental Protection Agency (EPA). At this time it appears the Manufactured Housing Program Office remains unchanged. Within FHA some attention is being paid to the needs of smaller lenders.

Republican reaction to the administration’s plan has been tepid. House Majority Leader Cantor (R-VA) characterized the plan as “underwhelming.” Senator Barrasso (R-WY) indicated that since the beginning of the year the administration has proposed at least 340 new regulations costing industry in excess of $65 billion.

HUD will propose changes to the FHA Program that will:

• Streamline Inspection and Warranty Requirements for Federal Housing Administration (FHA) Single Family Mortgage Insurance.

• Remove the regulations providing for requests for an alternative maximum mortgage amount in the FHA single family mortgage insurance programs and, in doing so, establish certainty in FHA’s annual announcement of applicable maximum mortgage amounts for the calendar year.

• Create alternative financial statement reporting requirements for FHA-approved lenders and mortgagees supervised by a Federal banking agency and possessing consolidated assets of less than $500 million.

HUD Announces Fair Housing Enforcement Action

This week, HUD charged RiverBay Corporation, a housing cooperative located in the Bronx, and two of its employees with violating the Fair Housing Act. HUD brings the charge on behalf of the tenant, claiming that RiverBay refused to allow the tenant to have a medically prescribed emotional support animal and that the cooperative’s security officers harassed the tenant because of the service animal.

Upon moving into the Co-op, the tenant did sign an occupancy agreement with a “no pets” provision. However, at a later date, the tenant requested a reasonable accommodation to this policy in order to keep a service animal that a doctor had prescribed to assist with his daily living. The tenant provided letters from a doctor and the City of New York’s Department of Health and Mental Hygiene verifying the animal’s service status and the tenant’s need to retain the service dog. RiverBay allegedly denied the tenant’s request for this accommodation, refused to accept rent payments, threatened to suspend garage privileges, and attempted to proceed with eviction.

In this enforcement action, HUD asserts the Fair Housing Act makes it unlawful for a housing provider (which included manufactured housing community owners) to refuse to make reasonable accommodations in rules, policies, practices, or services when needed to provide persons with disabilities an equal opportunity to use or enjoy a dwelling.


MHI-PAC to Host Congressmen Stephen Fincher and Gary Miller

In mid-September, MHI-PAC in conjunction with Porterfield & Lowenthal, LLC will host fundraising events for Congressmen Stephen Fincher(R-8th-TN) and Gary Miller (R-42-CA). Representatives Fincher and Miller are key members of the House Financial Services Committee and strong allies of the industry. The Congressmen will be the driving force behind MHI’s revisions in the House of Representatives to the Dodd–Frank Wall Street Reform and Consumer Protection Act.


2012 Redistricting Outlook Could Impact Industry Allies

Redistricting is the process of states redrawing Congressional district boundaries in response to population changes determined by the results of the decennial census. During this once-in-a-decade process, the political ramifications are significant. The redrawn district lines could ensure continued Republican control of the House of Representatives, or give the Democrats an advantage to reclaim it.

As House Members (departed for the August recess) stated, mapmakers were close to completing almost 40 percent of the Congressional maps getting redrawn this cycle. The boundaries of at least 226 House seats are in various states of flux.

The following states will gain/lose seats:

Gains: (AZ +1, FL +2, GA +1, SC +1, TX +4, UT+1, WA +1)
Lose: (IL-1, IA-1, LA-1, MA-1, MI-1, MO-1, NJ-1, NY-2, OH-2, PA-1)

As congressional districts are re-drawn and place incumbent against incumbent, add a district or eliminate a congressional seat entirely, MHI-PAC will be monitoring the changes and their affects upon Members of Congress who are friends of the industry.

mas kovach mhpronews shopping with soheyla .jp

Get our ‘read-hot’ industry-leading 

get our ‘read-hot’ industry-leading emailed headline news updates

Scroll to Top