Selling pools of severely delinquent loans to investors can help the FHA and borrowers headed into foreclosure.
The creation of the UMBS is an important step forward in the current system.
Although homeownership rates for other groups have largely recovered since the housing crisis, black homeownership continues to decline, recently hitting an all-time low.
Changes in the housing finance sector have sparked conversations on the value of private mortgage insurance.
The Federal Housing Administration recently announced changes to clarify how it would enforce its underwriting rules.
The FHA's Home Equity Conversation Mortgage program helps seniors tap into their housing wealth to help pay for living expenses.