RHS revised chapters 9, 10, and 16 of the Single Family Housing Guaranteed Loan Program Technical Handbook (HB-1-3555). The updates to chapter 9 update a change in policy for existing guidance regarding tax transcript requirements, gift fund sourcing, employment verification methods, and make minor grammatical and formatting edits. The updates to chapter 10 add monthly subscription services, gym memberships, etc. to the list of eligible sources of non-traditional credit, and make minor grammatical and formatting edits. The updates to chapter 16, update the maximum insurance deductible permitted to 5% of the total coverage amount for hazard insurance and $10,000 for flood insurance and clarify that when permitting a high deductible, lenders must be mindful of the applicant’s repayment ability to ensure the deductible selected is reasonable and will not cause undue hardship on the applicant. The updates went into effect May 6, 2024.
Click to view the RHS SFH Guaranteed Origination Notice: https://www.tenaco.com/wp-content/uploads/2024/05/RHS-SFH-Guaranteed-Origination-Notice-05-06-24.pdf
Click to view the Procedure Notice 613: https://www.tenaco.com/wp-content/uploads/2024/05/PN-613-05-06-24.pdf
