SAN DIEGO (Reuters) - Federal Housing Administration Commissioner David Stevens on Monday said an audit of the U.S. agency will show it has enough capital to cover projected losses.
The commissioner countered critics that are casting doubt on the U.S. housing agency's ability to handle losses on the portfolio of loans it guarantees amid increases in foreclosures and joblessness.
Stevens also said calls to reduce risks to the FHA with an increase in required downpayments in its loan program are misplaced, and could hinder a recovery for U.S. housing. FHA loans require a 3.5 percent downpayment, below the 20 percent currently mandated by other programs.
(Reporting by Al Yoon)