HUD Handbook 4000.1 II.B.3: Allowable Mortgage Parameters

Document: HUD Handbook 4000.1, FHA Single Family Housing Policy Handbook
Version in Zeitro Strata: August 12, 2026
Where: page 611 of 1872
Official text: HUD Handbook 4000.1, FHA Single Family Housing Policy Handbook on the FHA website

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Page 611

3. Allowable Mortgage Parameters

The Mortgagee must determine the Borrower’s creditworthiness, financial capacity, and available capital to support the HECM. The Mortgagee must also examine the Property to ensure it provides sufficient collateral for the HECM.

For each HECM the FHA insures, the Mortgagee must fully comply with the following underwriting procedures.

Guideline text quoted as published by the agency. The latest published version governs. This is not an underwriting decision.