HUD: FHA INFO #21-59: New Handbook 4000.1 Update
July 20, 2021
Today, the Federal Housing Administration (FHA) published a new update to the Single Family Housing Policy Handbook 4000.1 (Handbook 4000.1). The updates include enhancements and revisions to existing guidance as well as various other technical edits. In most cases, however, this newly added language augments and enhances existing policy.
FHA remains committed to making it easier for mortgagees to conduct business by maintaining and enhancing Handbook 4000.1 with regularly scheduled updates to ensure it remains the comprehensive source of policy guidance for single family mortgage originators, servicers, and other stakeholders.
Highlights of updates to Handbook 4000.1 include:
• Section III — Servicing and Loss Mitigation
– Revises disclosure and submission guidance for Voluntary Termination of Mortgage Insurance.
– Updates guidance to require requests for exceeding Property Preservation allowances be submitted at least five days prior to conveyance of the property.
– Incorporates policy guidance on the COVID-19 Advanced Loan Modification and COVID-19. Forbearance policies from ML 2021-15
– Updates the effective date of Section III – Servicing and Loss Mitigation, Appendix 4.0, and Appendix 5.0, as HUD extended the implementation date for this guidance in ML 2021-14.
• Online and PDF versions of Handbook 4000.1: https://www.hud.gov/program_offices/administration/hudclips/handbooks/hsgh
• Handbook 4000.1 Information Page: https://www.hud.gov/program_offices/housing/sfh/handbook_4000-1
• Mortgagee Letters: https://www.hud.gov/program_offices/administration/hudclips/letters/mortgagee
Need Support? Contact the FHA Resource Center.
• Visit our knowledge base to obtain answers to frequently asked questions 24/7 at
• E-mail firstname.lastname@example.org. Emails and phone messages will be responded to during normal hours of operation, 8:00 AM to 8:00 PM (Eastern), Monday through Friday on all non-Federal holidays.
• Call 1-800-CALLFHA (1-800-225-5342). Persons with hearing or speech impairments may reach this number by calling the Federal Relay Service at 1-800-877-8339.
To view all updates, please click the source link above.