FHA Housing Stabilization and Homeownership Retention Act of 2008

[AI summary unavailable — showing source text] FHA Housing Stabilization and Homeownership Retention Act of 2008 - Amends the National Housing Act to create the Refinance Program Oversight Board, charged with establishing program and oversight requirements for the programs established under this Act. Instructs the Secretary of Housing and Urban Development (HUD) to insure any (homeownership retention) mortgage covering a one- to four-family residence made to pay or prepay outstanding obligations under an existing mortgage on the residence. Declares that all penalties for prepayment of the existing mortgage, and all fees and penalties related to default or delinquency on all existing mortgages, shall be waived or forgiven. Sets forth terms for: (1) reduction of indebtedness under an existing senior mortgage; and (2) extinguishment of debt by refinancing. Requires any debt service payments due under a mortgage insured under this Act to be substantially reduced from the debt service payments due under the existing mortgage or mortgages. Requires the mortgage to provide that the HUD Secretary shall retain a lien on the residence which shall: (1) be subordinate to the mortgage insured under this Act but senior to all other existing …