This letter, co-signed by CFA, and addressed to Deputy Assistant Secretary Matt Jones at HUD, expresses strong support for the FHA-insured mortgage program. FHA mortgages, backed by the Federal Housing Administration, offer lower down payments requirements and do not engage in risk-based pricing based on credit score. As such, FHA mortgages continue to play a crucial role in making homeownership accessible for millions of first-time homebuyers, including many moderate-income families.

Our letter specifically commends FHA’s loss mitigation tools, such as partial claims, loan modifications, and payment supplements, which help struggling homeowners keep their homes—particularly in high-interest rate environments. These tools not only help homeowners stay in their homes, but are also cost-effective – helping protect taxpayers and the FHA insurance fund by preventing unnecessary foreclosures. We urge decision-makers to maintain FHA’s temporary loss mitigation program (in place through February 1, 2026) and to preserve the structure of the permanent program moving forward. Eliminating effective loss mitigation tools could lead to more foreclosures, harming both homeowners and the economy.