The Federal Housing Administration (FHA) should give lenders five years, instead to three years, to meet a higher $2.5 billion net worth requirement, according to the Mortgage Bankers Association (MBA).

The current net worth requirement for FHA-approved lenders is $250,000. "MBA supports limiting the approval process to qualified mortgagees and increasing the net worth requirement," MBA president and chief executive John Courson said in a comment letter to the Department of Housing and Urban Development (HUD).

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