FHA's plan to help buyers through a ‘difficult’ housing market - MarketWatch

[Saaj Patel]

With affordability at a 39-year low, the FHA has been modifying its loan programs to help relieve first-time homebuyers.

Primarily, allowing home buyers to include rental income from accessory dwelling units during the mortgage underwriting process and reducing the MIP on FHA-insured mortgages — which saves borrowers up to $800 a year — the agency said.

Julia Gordon, the assistant secretary for Housing and Federal Housing Commissioner also said that they were looking at changes with 203k loans, which are government loans that are more commonly known as a rehab or a renovation loan.

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