FHA Offering New Flexibilities for Borrowers Previously Affected by Covid-19
FHA has announced that the guidelines are being updated when calculating effective income after a reduction or loss of income for borrowers affected by the COVID-19 pandemic. These changes are effective for all case numbers on or after 09/05/2022, but may be implemented immediately.
ML 2022-09 reflects policies that will be incorporated into the 4000.1, providing updates for the following:
Additional Required Analysis of Stability of Employment Income
Additionally, flexibility when calculating income for borrowers who experienced a gap in employment and/or a reduction of loss of income due to the COVID-19 pandemic has been updated allowing a borrower to be employed in the same line of work for at least six months at the time of case assignment.
https://www.hud.gov/press/press_releases_media_advisories/HUD_No_22_129