HUD Mortgagee Letter 2023-02 — Expansion of the COVID-19 Recovery Loss Mitigation Options
HUD ML 2023-02 expands the COVID-19 Recovery Loss Mitigation Options to include all Borrowers in Default or Imminent Default (including Non-Occupant Borrowers), increases the COVID-19 Recovery Partial Claim to 30 percent of UPB, temporarily suspends FHA-HAMP and Standard PFS/DIL options through October 30, 2024, and updates SFDMS reporting.
Verbatim regulatory text
Verbatim provisions from HUD Mortgagee Letter 2023-02 — Expansion of the COVID-19 Recovery Loss Mitigation Options — 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.
HUD ML 2023-02 — Effective Date
The provisions of this ML may be implemented immediately, but must be implemented no later than April 30, 2023, where the Mortgagee has not sent documents to the Borrower to complete any Home Retention Option.
HUD ML 2023-02 — COVID-19 Recovery Option End Dates
The COVID-19 Recovery Options may be offered through, but no later than, October 30, 2024, and completed no later than February 27, 2025.
HUD ML 2023-02 — FHA-HAMP Temporarily Suspended (III.A.2.k.v(B))
All FHA-HAMP Options are temporarily suspended and must not be offered through October 30, 2024. Mortgagees must evaluate all Borrowers for the COVID-19 Recovery Home Retention Options.
Operationalizing HUD Mortgagee Letter 2023-02 — Expansion of the COVID-19 Recovery Loss Mitigation Options
This is verbatim, source-snapshotted regulator text from the Claude for Compliance open corpus. To turn a rule like this into compliance work product: gap-analyze your policies and procedures (P&Ps) against these requirements to surface stale, conflicting, or missing provisions; operationalize any change with a ready-to-run update kit; and produce audit-ready evidence — every step grounded only in the regulator’s own words, never invented.
Source of record: https://claudeforcompliance.com/regs/hud-ml-2023-02/
· register hud-ml-2023-02 · Claude for Compliance. Free to read and download;
see regulatory updates and methodology.