The U.S. Department of Housing and Urban Development (HUD) announced that the Federal Housing Administration (FHA) supported over 790,000 individuals in 2024. This information was released as part of the Annual Report to Congress on the Financial Status of FHA’s Mutual Mortgage Insurance Fund for fiscal year 2024.
Throughout fiscal year 2024, HUD continued its efforts under the Biden-Harris Administration to enhance access to homeownership by overcoming barriers and providing sustainable mortgage credit. Despite challenges such as high interest rates and limited housing supply, FHA facilitated mortgage credit access for more than 793,000 homebuyers and homeowners. Among these were over 26,000 seniors who secured a Home Equity Conversion Mortgage (HECM).
"Under the Biden-Harris Administration, we have expanded access to homeownership," stated HUD Agency Head Adrianne Todman. "Despite high housing costs and a challenging market, we made historic reforms to help hundreds of thousands of Americans buy and keep a home."
The report indicates that FHA's insurance fund remains robustly capitalized. As of September 30, 2024, the MMI Fund’s capital ratio was reported at 11.47 percent, marking an increase from the previous year's figure. The total capital within the MMI Fund rose by $27.5 billion from fiscal year 2023 to reach $172.8 billion in fiscal year 2024.
Federal Housing Commissioner Julia Gordon commented on the achievements: “The exceptional team of public servants at FHA and throughout this Administration continued to deliver a world-class mortgage program to support the nation’s homebuyers in fiscal year 2024.”
FHA played a significant role in serving first-time homebuyers and borrowers not fully catered by private markets. Over 82 percent of FHA purchase mortgage endorsements went to first-time buyers in fiscal year 2024. Data also showed that mortgages issued by FHA significantly benefited Black and Hispanic borrowers compared to other market participants.
Key findings include that FHA insured approximately 766,942 forward mortgages during fiscal year 2024 while supporting many seniors through HECMs. First-time homebuyers accounted for about eight out of every ten FHA borrowers over recent years.
In terms of diversity among borrowers, around one-third of FHA-insured forward mortgages were issued to individuals identifying as people of color in fiscal year 2024.
Moreover, approximately 332,000 homeowners received their first FHA forbearance during this period due to financial hardships such as those caused by natural disasters or pandemic-related issues.
As per data up until September end-2024, serious delinquency rates remained stable with pre-pandemic levels at around four percent.
Additionally noted was an increase in both MMI Fund Capital reaching $173 billion—a growth from last year's figures—and Insurance in Force expanding substantially within this timeframe.
Further insights into these developments are available through actuarial reviews concerning both forward mortgage portfolios alongside Home Equity Conversion Mortgages conducted for FY24.
