HUD Submits Proposal to OMB to Prevent Property Flipping on FHA Insured Mortgages

Summary

The U.S. Department of Housing and Urban Development (HUD) has submitted a proposed information collection requirement to the Office of Management and Budget (OMB) to prevent predatory lending practices, commonly known as property flipping, on FHA-insured mortgages. The proposal aims to ensure that only the owner of record can sell a property within 90 days of FHA insurance, and lenders must provide documentation of the resale dates.