Housing Financial Literacy Act

Summary#

This bill would require the Secretary of Housing and Urban Development to reduce FHA single-family mortgage insurance premium payments for first-time homebuyers who complete a financial literacy housing counseling program. The counseling must be completed before the mortgagor signs an application for an FHA-insured mortgage or before a sales agreement is signed. The bill sets the discount at 25 basis points (0.25 percentage point) lower than the mortgage insurance premium amount the Secretary establishes.

What it means for you#

• If you are a first-time homebuyer and you finish a qualifying housing financial literacy counseling program before signing a mortgage application or sales agreement, your FHA single-family mortgage insurance premium would be 0.25 percentage point lower than the standard premium set by HUD.
• If you are not a first-time homebuyer or you complete counseling after signing the application or sales agreement, this bill does not provide a discount.

Expenses#

No publicly available information on estimated costs, savings, or fiscal impact is included in the bill text or metadata provided.

Proponents' View#

No publicly available information.

Opponents' View#

No publicly available information.