HUD Issues Proposed Rule for Use of Private Flood Insurance on FHA Loans

HUD issued a proposed rule which would allow borrowers on FHA loans to use private flood insurance instead of requiring insurance through the National Flood Insurance Program (NFIP). As a condition of receiving a mortgage loan which is insured by the Government, or for a Government Sponsored Enterprise to purchase a loan, federal law requires that borrowers who live in areas with high flood risk must obtain flood insurance through the NFIP. The NFIP provides for federally-backed flood...
By: Weiner Brodsky Kider PC

Weiner Brodsky Kider PC