Yesterday, the FHA announced suspension of the effective date of Mortgagee Letter 2019-06.
On April 18th, the Federal Housing Administration (FHA) published Mortgagee Letter (ML) 2019-06, which clarified documentation requirements for governmental entities providing down payment assistance to FHA borrowers in order to satisfy a portion or all the borrower's Minimum Required Investment (MRI). The effective date of the guidance was originally effective for case numbers assigned on or after April 18, 2019. FHA subsequently published ML 2019-07 which delayed the effective date until July 23rd.
Yesterday, the Federal Housing Administration (FHA) published Mortgagee Letter (ML) 2019-10, which announced the suspension of the effective date of Mortgagee Letter 2019-06, "Down Payment Assistance and Operating in a Governmental Capacity," until further notice. As a result, NewRez will not be updating requirements outlined in Mortgagee Letter 2019-06 until further guidance or requirements are set forth by HUD.