LOS ANGELES — The Department of Housing and Urban Development said last week that it would ask for less money from Uncle Sam this year because it expects income from two of its agencies to more than double.
HUD operates the Federal Housing Administration and Ginnie Mae, in addition to a host of affordable-housing programs. Both agencies recently raised fees for borrowers and should reap an extra $6.9 billion this year.
The FHA insures nearly one-third of all home mortgages, while Ginnie Mae sells securities made up of loans backed by the FHA and the Department of Veterans Affairs. The fee increases were necessary to offset losses both agencies have seen during the foreclosure crisis.
HUD asked the federal government to cover about $41.6 billion of its operating costs — a 5 percent reduction from the prior year. Alex Veiga, The Associated Press
