Today, The Federal Housing Administration (FHA) released its annual report to Congress for the Fiscal Year 2023. In the report, which includes the performance of the Mutual Mortgage Insurance (MMI) Fund, FHA outlines their successes providing access to mortgage credit in a difficult marketplace. This includes providing mortgage insurance to 765,000 homeowners, including over 33,000 seniors through a Home Equity Conversion Mortgage. Over 82% of FHA’s endorsements were for first-time homebuyers, and the report also outlines FHA’s significant role in providing access to mortgage credit for underserved communities compared to the rest of the marketplace.
FHA also announced its capital ratio sits at 10.51% - 8.5% above what is required by congress and only .6% below their reserves from FY 2022. FHA also announced the serious delinquency rate in their portfolio has dropped to near pre-pandemic numbers at 3.93%.
NAR commends FHA and the Department of Housing and Urban Development for maintaining a strong financial footing in 2023, while simultaneously making important policy changes, including reducing their annual mortgage insurance premium, to help the homeowners and homebuyers they serve.