On August 2, the FHA finalized a rule allowing mortgagees to communicate with borrowers in default remotely, rather than in-person which was previously required, citing positive feedback after waivers of the in-person requirement were issued during the Covid-19 pandemic. According to the FHA, in an effort to modernize its practice, the final rule allows for the use of electronic and other remote methods of communication to satisfy HUD’s requirement to meet with a borrower who is in default, while preserving consumer protections. However, the rule also eliminates certain exceptions to the meeting requirements, including in situations where the borrower did not reside in the mortgage property and where the mortgaged property was not within 200 miles of the mortgagee’s offices, servicers, or branches. The final rule is effective on January 1, 2025.