FHA Single Family Housing Policy Handbook 4000.1, Part III — f. Imminent Default (10/01/2025)
FHA Single Family Housing Policy Handbook 4000.1, Part III — f. Imminent Default (10/01/2025).
Verbatim regulatory text
Verbatim provisions from FHA Single Family Housing Policy Handbook 4000.1, Part III — f. Imminent Default (10/01/2025) — each quote is a verified substring of the regulator-published source snapshot, not retyped. Quoted for reference; this is not legal advice. The operational layer (P&P updates, prompts) lives in the regulation update kits.
FHA Single Family Housing Policy Handbook 4000.1, Part III — f. Imminent Default (10/01/2025)
f. Imminent Default (10/01/2025) i. Definition A Borrower facing Imminent Default is defined as a Borrower who is current or less than 30 Days past due on their Mortgage Payment and is experiencing a significant, documented reduction in income or some other hardship that will prevent them from making the next required Mortgage Payment during the month that it is due. ii. Standard The Mortgagee must obtain documentation necessary to verify that the Borrower is experiencing a significant reduction in income or some other hardship that will prevent them from making the next required Mortgage Payment during the month that it is due. The Mortgagee must obtain, electronically or in hard copy, the following certification from the Borrower: I am/We are experiencing a reduction in income or the following hardship(s) that will prevent me/us from making the next required Mortgage Payment due on ____________ during the month that it is due: _____________________________________________________________________ ____________________________________________________________________. I/We, the undersigned, certify under penalty of perjury that the information provided above is true and correct. WARNING: Anyone who knowingly submits a false claim or makes a false statement is subject to criminal and/or civil penalties, including confinement for up to five years, fines, and civil and administrative penalties. (18 U.S.C. §§ 287, 1001, 1010, 1012, 1014; 31 U.S.C. §§ 3729, 3802). iii. Required Documentation The Mortgagee must document the basis for the determination that the Borrower’s financial condition will result in a Default and the Borrower’s certification in its Servicing File. III. SERVICING AND LOSS MITIGATION A. Title II Insured Housing Programs Forward Mortgages 2. Default Servicing Handbook 4000.1 1190 Last Revised: 11/26/2025