NAMB: End FHA Net-Worth Requirement

National Association of Mortgage Brokers president Bob Armbruster has written a letter to the Department of Housing and Urban Development asking that mortgage brokers be allowed to originate FHA loans using a surety bond instead of having to meet a net-worth requirement.He told the New York Association of Mortgage Brokers annual convention in Melville, N.Y., that mortgage brokers now originate 38% of Federal Housing Administration loans. The change could increase the market share for brokers to 60%. Mr. Armbruster also announced that the NAMB will become a self-managed organization starting in January 2006. At the same session, Catherine T. Nolan, the newly appointed chairwoman of the New York State Assembly Banking committee, said, "I hope we have a dialog. It is important for me to understand what you do and how you do it." Ms. Nolan said she and other politicians are not experts on mortgage lending, but that "I hope to learn from you." The NAMB can be found online at http://www.namb.org.