The key facts

  • The order directs FHFA to instruct Fannie Mae and Freddie Mac to create a pilot program to proactively cancel excessive mortgage insurance for eligible borrowers
  • The pilot for automated title verification instead of lender's title insurance is being expanded nationwide for eligible refinancing transactions
  • A manufactured housing innovation task force has been created with a 180-day deadline for recommendations; the Departments of Agriculture and Veterans Affairs are directed to lower rates on direct loans

Order to reduce homeownership costs

US President Donald Trump on Thursday signed an executive order aimed at reducing regulatory barriers in obtaining mortgages and lowering expenses that hinder home purchases, Anadolu reports.

Mortgage insurance and titles

The order directed the Federal Housing Finance Agency (FHFA) to instruct Fannie Mae and Freddie Mac to create a pilot program that will proactively cancel excessive mortgage insurance for eligible borrowers. It also provides for expanding the title acceptance pilot into a nationwide program allowing automated verifications instead of lender's title insurance policies for eligible refinancing transactions.

Manufactured housing and government loan rates

The document established the Manufactured Housing Innovation Task Force to support modern manufacturing methods and eliminate duplicative federal inspections of factory-built housing. The task force must submit recommendations to the president within 180 days on stimulating affordable housing production and standardizing permitting procedures. In addition, the Secretary of Agriculture and the Secretary of Veterans Affairs are directed to lower interest rates on single-family home loans issued directly by their agencies.