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Misinformation about FHA mortgage modification spreads on TikTok

Misinformation is spreading on TikTok about the Federal Housing Administration‘s (FHA) recent increase to the maximum mortgage modification term, causing confusion for homebuyers. 

The FHA announced a final rule last month that allows mortgagees to increase the maximum FHA-insured mortgage loan modification term from 360 months to 480 months following a default. That change is slated to go into effect on May 8.

While the FHA’s recent decision only applies to existing mortgages that defaulted, some inaccurate TikTok content claims that the FHA approved a 40-year mortgage loan program for first-time home buyers.

“The difference now details ⇒

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