Executive Order 14438, Decreasing Housing Costs for the American People, signed October 22, 2026, could change how Fannie Mae and Freddie Mac handle mortgage insurance cancellation and title requirements on refinances. For mortgage executives, the potential benefits include lower borrower costs and more efficient transactions, accompanied by changes to servicing operations and title affiliate economics.
The immediate priority is preparation. The mortgage insurance and title initiatives depend on determinations by the Federal Housing Finance Agency (FHFA) and subsequent implementation by the Enterprises. The order itself does not establish a launch date for either initiative or give borrowers an immediate entitlement to cancellation or a title waiver.
Mortgage insurance cancellation would become more proactive
Subject to the required FHFA determination, the Enterprises would establish a pilot using automated valuation models (AVMs) and other data to periodically review single-family loans they own, guarantee, or securitize. The goal is to identify borrowers who appear eligible to cancel mortgage insurance based on current property values.
The pilot would apply only to mortgages made after it begins. Cancellation would remain subject to equity thresholds, payment history, safety and soundness, and applicable statutory, contractual, regulatory, and Enterprise requirements. A higher AVM valuation alone would not establish eligibility.
The order also calls for servicers, where legally permitted and operationally feasible, to promptly notify borrowers when insurance may be canceled and reduce unnecessary documentation and appraisal costs. This initiative addresses Enterprise loans; it does not direct cancellation of FHA mortgage insurance premiums.
For servicing executives, preparation should focus on identifying eligible loans, validating valuation data, coordinating with mortgage insurers, and documenting cancellation decisions and borrower notices. Companies that use subservicers should determine how responsibilities, reporting, and oversight would be allocated under implementing requirements.
Title insurance alternatives could lower refinance costs
Subject to FHFA’s required determinations and applicable law, the order directs expansion of the title acceptance pilot into an ongoing nationwide program at both Enterprises. Eligible refinances could use an approved automated title review or other title-risk assessment in place of a lender’s title insurance policy.
FHFA must consider eligibility above the current 80 percent loan-to-value limit where title risk remains low, additional providers, and removal of geographic restrictions. It must also consider appraisal and income re-verification waivers for certain limited cash-out refinances that reduce monthly payments, where existing Enterprise data support them, and reductions in loan-level price adjustments and other Enterprise fees.
These are matters FHFA must consider, rather than benefits every refinance borrower can claim. The initiative concerns lender’s title coverage on eligible refinances; it does not eliminate title insurance across mortgage transactions.
The order requires program savings to reach borrowers and lenders to inform borrowers of those savings. Executives should plan for controls that connect eligibility, pricing, closing charges, and borrower communications. Any efficiency gains should be evaluated alongside the pass-through requirement when forecasting margins.
Mortgage companies with title affiliates should model potential reductions in refinance policy revenue. Lenders should also review the allocation of title risk and responsibility for errors under any approved alternative before changing closing practices.
Manufactured housing reforms could expand lending opportunities
The order establishes a Task Force on Manufactured Housing Innovation, co-chaired by HUD and FHFA. Within 180 days, it must recommend ways to reduce duplicative federal approvals and inspections, support modern factory production, and improve coordination across federal housing programs. Recommendations are therefore expected in April 2027; that is not a deadline for completing all reforms.
The task force will also evaluate using federal funding to encourage standardized state and local permitting and licensing. The order does not itself replace those requirements.
For lenders, greater standardization could support more scalable manufactured housing programs and relationships with builders and manufacturers. This initiative also warrants tracking alongside the FHA property standards proposals discussed in our earlier article on UAD 3.6 and manufactured housing. Product expansion should follow the applicable final requirements.
USDA and VA rate reductions cover direct loans
The order directs USDA and VA to lower rates on single-family loans made directly by those departments, consistent with applicable law and available appropriations. It does not direct private lenders to reduce rates on all USDA- or VA-guaranteed mortgages. Product teams and loan officers should preserve that distinction in borrower communications.
Super Intelligence language signals a policy preference
The order endorses risk and valuation technologies incorporating “Super Intelligence.” It does not define the term or establish a separate technology mandate. Executives should evaluate AVM and title technology vendors against actual program requirements, with attention to data quality, documented performance, and responsibility for errors.
What mortgage executives should do now
Assign an executive owner to track FHFA and Enterprise implementation, including effective dates, loan eligibility, and borrower communication requirements. Use that work to coordinate servicing changes, refinance pricing, vendor readiness, and the financial outlook for title affiliates.
Companies can begin that assessment now while continuing to follow existing requirements. The business opportunity will depend on the final program terms and each company’s ability to deliver the required borrower savings efficiently.
For assistance assessing the operational, contractual, or compliance implications of Executive Order 14438, contact Troy Garris.