Tag Archives: Carol Galante

Less than two years after being confirmed as the head of the Federal Housing Administration (FHA), Commissioner Carol Galante is making plans to step down from her post.

The Federal Housing Administration (FHA) is bringing down loan limits on single-family mortgages next year, HUD announced Friday. According to the announcement, FHA's revised ceiling for single-family loan limits will come down to $625,000 from $729,750. "As the housing market continues its recovery, it is important for FHA to evaluate the role we need to play," said FHA Commissioner Carol Galante. "Implementing lower loan limits is an important and appropriate step as private capital returns to portions of the market."

A House panel is investigating what it believes is an attempt by Federal Housing Administration (FHA) officials to cover up the full details of the agency's financial troubles regarding its Mutual Mortgage Insurance (MMI) Fund. The House Oversight and Government Reform Committee reviewed emails between FHA and IFE Inc., the firm that conducted the agency's actuarial report. The messages reveal FHA's losses could be as high as $115 billion under the most extreme conditions.

The Obama administration released Wednesday its budget proposal for fiscal year (FY) 2014, revealing that the Federal Housing Administration (FHA) may require a bailout of up to $943 million to reinforce its capital reserves. In a conference call with reporters, HUD Secretary Shaun Donovan explained the agency has taken steps to ensure safer new business and to increase recoveries on the older, riskier loans that brought its Mutual Mortgage Insurance (MMI) Fund to a negative balance.

The GAO revealed it considers the agency to be a "high risk" program "due to [its] greater vulnerability to fraud, waste, abuse and mismanagement or the need for transformation."

Federal Housing Administration (FHA) Commissioner Carol Galante sat in front of the House Financial Services Committee for the second time to field questions and criticisms about the agency's practices and market share. It was established during the hearing that FHA insures 56.4 percent of mortgage loans today, though Galante was quick to assert in her testimony that FHA's "market share has been declining steadily since its peak in 2009." The commissioner also maintained the agency has no immediate need for a bailout.

Federal Housing Administration commissioner Carol Galante announced Wednesday a series of changes to be issued this week that will allow the agency to better manage risk and strengthen its anemic Mutual Mortgage Insurance (MMI) Fund. The announced changes include consolidating FHA's reverse mortgage program, raising of mortgage insurance premiums, and requiring borrowers to continue paying annual insurance premiums for the entire life of their mortgage loans.

Congress approved the appointment of Carol Galante as assistant secretary for housing and commissioner of the Federal Housing Administration (FHA). The appointment was finalized Sunday with 69-24 vote from the Senate.

Weeks after HUD Secretary Shaun Donovan defended her performance in front of a Senate banking committee, Federal Housing Administration (FHA) Acting Commissioner Carol Galante may have earned a new ally on Capitol Hill. Senator Bob Corker (R-Tennessee) announced he "feels comfortable supporting [Galante's] bid to become FHA commissioner after receiving a letter detailing her commitment to reforming FHA's underwriting requirements and restoring its Mutual Mortgage Insurance (MMI) Fund to health.

Government agencies have restructured for better risk protection and to position themselves to climb out of the mortgage and housing crisis of 2006-2009.