Wednesday, November 18, 2009
US Federal Housing Association Draws Fire
"The Federal Housing Administration, the agency that insures home purchases made with down payments as small as 3.5 percent, may create another lending crisis, Toll Brothers Inc. CEO Robert Toll said. â€œYesterdayâ€™s subprime is todayâ€™s FHA,â€ Toll said today at a New York conference for builders sponsored by UBS AG". The FHA said 456,000 of its loans, or 8.2 percent, were in default as of September 09. That was up from 5.6 percent in September 2008.