RISMEDIA, May 1, 2007-The National Association of Mortgage Processors (NAMP) predicts FHA loan programs may start to replace subprime mortgages in the months ahead. Embracing this shift, NAMP has partnered with the nation's leading FHA training school, FHA Training University, to offer live, instructor-led online FHA training classes to students nationwide.
In recent months, some of the mortgage industry's top subprime players (New Century Financial Corp., People's Choice Financial Corp. and others) have gone out of business. With a fall out in the Sub Prime mortgage space, FHA loans have become an attractive option among borrowers seeking an alternative financing solution.
As the government's largest mortgage program, the Federal Housing Administration (FHA) loan has been basically a low down payment source for first time home buyers with issues with their credit, but who could fully document their income and assets. In recent times the Federal Housing Administration has made some significant changes. According to FHA Commissioner Brain D. Montgomery, the agency has shifted from its historical emphasis on the repair of minor property deficiencies and now only requires repairs for those property conditions that rise above the level of cosmetic defects, minor defects or normal wear and tear.
NAMP's recent partnership with FHA Training University creates a unique, cost-effective way for mortgage processors and loan originators across the country to obtain sound FHA processing, sales and compliance education, taught by FHA industry veterans.