What the New Housing Executive Order Means for Your PMI and Refinance Costs

If you saw headlines about a new order to cut mortgage costs, you probably wondered whether your payment is about to drop. For most people with a mortgage today, the answer is no, at least for now. The order sets up future programs and doesn't change anything on your current statement.
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The more useful thing to understand is which insurance on your mortgage the order actually targets. Most mortgage payments carry more than one kind of insurance, and each one does a different job.
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What the order does
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President Trump signed Executive Order 14438, titled "Decreasing Housing Costs for the American People," on October 22, 2026. It was published in the Federal Register on October 28.
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For mortgage holders, two sections matter. The first tells the FHFA director to consider a pilot where Fannie Mae and Freddie Mac regularly check home values on the loans they back, using automated valuation models, and cancel mortgage insurance when a borrower appears to have enough equity. Servicers would also need to tell borrowers when cancellation may be possible.
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The second tells FHFA to consider turning its existing title acceptance pilot into an ongoing nationwide program. Under that program, Fannie Mae and Freddie Mac could accept an automated title review in place of a lender's title insurance policy on eligible refinances.
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The order also directs the Department of Agriculture and the Department of Veterans Affairs to reduce rates on the home loans they make directly, and it creates a federal task force on manufactured housing.
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Both FHFA pieces come with a condition. The FHFA director first has to decide that each program is in the best interests of Fannie Mae, Freddie Mac or FHFA and the public. So the order starts a process that FHFA still has to carry out.
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The PMI pilot only covers future loans
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This is the detail most headlines skip. The order says the pilot applies only to mortgages made after the pilot is established, and it doesn't set a launch date.
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If you pay PMI on the loan you have now, this part of the order doesn't change your situation. Your path to dropping PMI still runs through the rules that already exist.
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Those rules come from the Homeowners Protection Act. The Consumer Financial Protection Bureau (CFPB) explains that you can ask your servicer to cancel PMI once your balance is scheduled to reach 80% of your home's original value, and your servicer must end it automatically at 78%, as long as you're current on payments. Fannie Mae and Freddie Mac can set guidelines that are more generous to borrowers than the law, and many servicers offer a removal path based on a new appraisal.
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Earlier in October, FHFA cleared Fannie Mae servicers to reach out to borrowers who may qualify, which we covered in our breakdown of the PMI outreach change. The new order would go a step further for future loans by having cancellation happen without the borrower asking.
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A quick reminder on what PMI is. It protects your lender if you stop paying. It does nothing for your house, your belongings or your liability. That job belongs to homeowners insurance, which our complete home insurance guide covers in full.
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The refinance title change
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When you refinance, your lender usually requires a new lender's title insurance policy. The CFPB notes that this policy only covers claims that affect the lender's loan. You pay for it once, at closing.
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FHFA first approved a title acceptance pilot with Fannie Mae in 2024. It covers certain lower risk refinances where the borrower already holds title to the home. The order asks FHFA to consider making that pilot permanent and nationwide, removing its geographic limits, and certifying more title review providers.
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The industry reaction is split. The American Land Title Association, which represents title companies, said expanding these alternatives should not shift significant financial risk onto families or the housing finance system. Lender groups, including the Community Home Lenders of America, praised the title provisions. Expect that debate to shape whatever FHFA ends up approving.
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What the order leaves alone
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None of this touches homeowners insurance. That matters, because homeowners insurance is the line on many mortgage payments that has been climbing. We looked at how large that share has gotten in our report on insurance as a record share of the mortgage payment.
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Most people pay homeowners insurance through escrow. When the premium goes up at renewal, your servicer adjusts the escrow portion at the next annual review, and your monthly payment can rise even when your rate and loan balance stay the same. Our guide on why your mortgage payment increased walks through how that works.
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So if your payment has been rising, PMI and title costs usually aren't what's driving it. Insurance premiums and property taxes are the more likely causes, and the order doesn't address either one.
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What you can do now
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If you pay PMI, find your PMI disclosure form or call your servicer. Ask when your loan is scheduled to reach 80% of the original value and whether they offer removal based on your home's current value. You don't need to wait for a pilot that doesn't exist yet.
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If you're thinking about refinancing, ask your lender whether your loan is eligible for a title waiver program. Availability is limited today and may change as FHFA acts on the order.
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A refinance also means updating your homeowners policy with the new lender's information. Lenders typically require proof of coverage that names them on the policy. If that proof doesn't reach the new servicer, it may buy lender placed insurance on your behalf, which often costs more and covers less. Our post on changing your policy after closing explains how the lender and escrow side of a policy change works.
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If your escrow payment is the part that keeps going up, look at your homeowners coverage directly. Re-shopping your home insurance at renewal is one way to see what options are available for your home. Coverage options and pricing vary by carrier and state.
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Where this goes next
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The next move belongs to FHFA. Watch for announcements from FHFA, Fannie Mae and Freddie Mac on whether the PMI pilot launches, when it starts, and which loans qualify. Keep an eye on the title waiver too, since it builds on a program that already exists and could move faster.
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Until then, your PMI and your homeowners premium both work the same way they did before October 22. If you have questions about how insurance fits into your mortgage, our FAQs cover the basics.
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Related from Covered News: our breakdowns of the PMI outreach change and the new escrow interest rules.

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