HUD Handbook 4000.1 II.B.5.a: Definition

Document
HUD Handbook 4000.1, FHA Single Family Housing Policy Handbook
Section date
Version in Zeitro Strata
Where
page 636 of 1872

Page 636

a. Definition (04/29/2024)

Financial Assessment refers to the Mortgagee’s evaluation, performed by an underwriter, of the Borrower’s willingness and capacity to meet their financial obligations in a timely manner, comply with the mortgage requirements, and determine if the HECM will be a sustainable solution to the Borrower’s financial circumstances.

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