FHA adopted a rule permitting private flood insurance for FHA-insured mortgages. Per the rule adoption, FHA will now allow borrowers the option to purchase a private insurance policy meeting FHA requirements in lieu of a National Flood Insurance Program policy for FHA-insured mortgages secured by properties located in Federal Emergency Management Agency-designated Special Flood Hazard Areas. FHA also issued Mortgagee Letter 2022-18 providing guidance to implement the provisions of the rule adoption. The rule adoption and Mortgagee Letter are effective on December 21, 2022.
Click to view the FHA Info #2022-96: https://www.tenaco.com/wp-content/uploads/2022/11/FHA-Info-2022-96-11-21-22.pdf
Click to view the FHA Mortgagee Letter 2022-18: https://www.tenaco.com/wp-content/uploads/2022/11/FHA-Mortgagee-Letter-2022-18-FHA-Info-2022-96-11-21-22.pdf
Click to view the FHA Rule Adoption – Acceptance of Private Flood Insurance for FHA Insured Mortgages: https://www.tenaco.com/wp-content/uploads/2022/11/FHA-Rule-Adoption-Acceptance-of-Private-Flood-Insurance-for-FHA-Insured-Mortgages-11-21-22.pdf
