Ginnie Mae Announces Rule Change for FHA Loan Delinquency Reporting
Ginnie Mae officially announced on April 24, 2026, that it will temporarily exclude certain loans from issuer delinquency calculations.
This policy change specifically addresses loans within Federal Housing Administration (FHA) Trial Payment Plans (TPPs) to fix a recent statistical surge in reported late payments.
The adjustment is designed to prevent a technical spike in delinquency rates from unfairly impacting mortgage issuers during a transitional period.
Impact on FHA Delinquency Ratios
Ginnie Mae’s decision responds to data showing that FHA delinquency rates jumped from 3.57% in September 2025 to 5.23% in January 2026.
According to reports, this increase was primarily driven by new FHA requirements that borrowers must complete a Trial Payment Plan before receiving final relief.
Ginnie Mae President Joseph Gormley explained in a memorandum that the surge in reported delinquencies is expected to subside as the updated framework becomes established.
- Policy Effective Date: Changes applied to reporting due starting April 2, 2026.
- Temporary Measure: Loans in TPPs will be excluded from compliance ratios until volume levels stabilize.
- Reporting Requirement: Issuers must mark these mortgages with a specific default action code.
Technical Drivers of the Reporting Anomaly
The reporting spike is described as a direct result of the extended timelines required to complete the mandatory Trial Payment Plan process.
Previously, pandemic-era rules allowed borrowers to request partial claim relief repeatedly without first completing a trial period.
The new “waterfall” of procedures keeps loans in a delinquent status for reporting purposes while the borrower is actively working toward a permanent solution.
Analysis from the Center for Responsible Lending emphasizes that this spike is a reporting anomaly rather than a sign of increased financial distress among borrowers.
Stable Credit Performance Metrics
Despite the rise in reported serious delinquencies, early-stage mortgage credit metrics in the United States remained stable during the recent period.
A Ginnie Mae report found no evidence of a rapid deterioration in borrower health, noting that loans are not rolling from current to late-stage delinquency at an accelerated rate.
Market data from Intercontinental Exchange (ICE) and Ginnie Mae’s March report confirmed that 60-day arrears held steady at approximately 1.8%.
| Metric Type | Recorded Percentage (Late 2025 – Early 2026) |
|---|---|
| FHA Delinquency (September 2025) | 3.57% |
| FHA Delinquency (January 2026) | 5.23% |
| Average FHA Delinquency (Oct-Feb) | 9.2% |
| Stable 60-Day Arrears Rate | 1.8% |
New Compliance Rules for Mortgage Issuers
While the affected loans will still appear as delinquent in standard monthly reports, they will no longer impact an issuer’s ratio compliance status.
This transitional measure is intended to maintain accurate compliance monitoring for FHA mortgage insurance programs while the market adjusts to the new waterfall policy.
Ginnie Mae stated it will provide at least 60 days’ notice before reverting to its standard calculation method for delinquency thresholds.
The agency also plans to review its broader Ginnie Mae delinquency reporting policies to better reflect current market risks.
Future Outlook for Loss Mitigation
FHA Commissioner Frank Cassidy, though currently on leave, previously identified the post-pandemic procedural changes as the primary driver of the short-term statistical increase.
As the new loss mitigation policy matures, the volume of active TPPs is expected to normalize and return to historic levels.
The temporary exclusion will remain in place until Ginnie Mae determines that the volume of trial plans has stabilized sufficiently.
- Compliance Monitoring: Accurate monitoring will continue despite the exclusion of TPP loans.
- Issuer Safeguards: Policy prevents technical delinquency spikes from triggering compliance failures.
- Borrower Status: Borrowers in TPPs are categorized as delinquent during the trial, despite active participation.
Ginnie Mae will continue to monitor the shift in mortgage credit performance to ensure the exclusion remains appropriate for current market conditions.
The agency concluded that the current reporting data reflects a lower resolution timeline rather than a fundamental shift in the ability of borrowers to meet their obligations.
