The Federal Housing Administration (FHA) on Wednesday posted a proposed Mortgagee Letter (ML) that would add flexibility for people receiving rental income from “boarders” who pay for space in an existing dwelling when considering them for an FHA-insured mortgage.

Borrowers receiving rental income from “boarders,” a term referring to “individuals who rent space in borrowers’ homes” according to the Single Family Housing 4000.1 Handbook, would have less stringent underwriting requirements for documenting and calculating this form of income when seeking a new FHA-insured loan, according to the proposal.

“FHA remains details ⇒

BusinessMediaguide.Com portal received this content from this noted web source: HousingWire.Com