Trump Administration Plans to Eliminate Dozens of Housing Offices
A looming reorganization of HUD would leave 34 states without offices that process mortgage insurance, despite a law requiring offices in every state.
The US Department of Housing and Urban Development (HUD) headquarters in Washington, DC.
Photographer: Al Drago/BloombergTakeaways NEW
The US Department of Housing and Urban Development plans to close dozens of field offices across the US, leaving most states without sites or staff to underwrite mortgages and potentially violating current federal law, according to staff at the department as well as a union that represents federal workers.
Federal law requires the agency to maintain at least one field office in every state in order to process applications for mortgage insurance. It’s one of HUD’s most important functions: Each year a division known as the Federal Housing Administration underwrites mortgage insurance for hundreds of thousands of buyers, generating billions of dollars annually for the Treasury.