Posted by TheShortSalePro on July 28, 2003 at 19:04:55:
Can’t help you too much on this one. While HUD does reimburse the mortgagee/mortgage loan servicer for losses sustained from foreclosed, FHA insured loans,
the amount of reimbursment is predicated upon the loan amount, not necessarily the appraised, FMV of the subject property. Where did you read that? Perhaps I’ve missed something.
FNMA owns mortgages that are serviced by others. Some of their higher LTV mortgages may carry PMI insurance.