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Direct Loan (applicable to Title I only)

FHA Single Family Housing Policy Handbook Glossary November 26 2025

Updated 08-20-2026

Direct Loan (applicable to Title I only)

A Direct Loan process refers to where the Borrower applies directly to the Lender or its sponsored TPO for the Loan without assistance from a Dealer, contractor, or third party that has a financial interest in the loan transaction.

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