WASHINGTON Nov 15 The Obama administration said
on Thursday it planned to take steps to fill a capital hole at
the Federal Housing Administration to lessen the need for a
The Department of Housing and Urban Development said an
independent actuary had found that the mortgage insurance
agency's capital reserve ratio - a gauge of its buffer against
loan losses - had fallen into negative territory and represented
a negative economic value of $16.3 billion.
It said the actuary's estimates had not taken into account
$11 billion in expected capital accumulation and steps the
administration planned to outline on Friday to shore up the
agency, which insures one out of three U.S. mortgages.