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HR 5508
Recent Bills/HR 5508

Mortgage Insurance Freedom Act

IntroducedSeptember 19, 2025
Introduced0 years ago
Intro
House
Senate
Pres
Introduced in House
Finance and Financial Sector
More:Recently Introduced BillsHouse Bills
Why This Matters

This bill would stop the Federal Housing Administration (FHA) from collecting annual mortgage insurance premiums once a borrower’s remaining loan balance reaches 78 percent or less of the lower of the home’s sale price or appraised value at origination.

Who this affects
Homeowners with FHA mortgages · Department of Housing and Urban Development
What changes is this bill making?
  1. 1Prohibits FHA from collecting annual premiums once the remaining insured loan balance is 78% or less of the lower of the home’s sale price or appraised value at origination
  2. 2Creates an exception if the Mutual Mortgage Insurance Fund’s capital ratio falls below 2%, allowing continued premium collection on loans still paying premiums when the ratio drops
  3. 3Requires FHA to issue rules within 180 days so borrowers can demonstrate they meet the 78% loan-to-value threshold
  4. 4Requires FHA to carry out outreach and education to inform borrowers about the premium stop and how to show eligibility
  5. 5Applies only to mortgages endorsed for insurance by FHA after this law takes effect
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Bill Progress1 of 4
Bills must pass the House, Senate, and be signed by the President to become law.
Intro
House
Senate
Pres
IntroducedCurrentSep 19, 2025

Introduced in House

Sponsors
See all 5 sponsors
House
Senate
President

The President

Donald Trump
President
Awaiting Vote
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