FHA Condo Approval Specialist: HUD Emailing List

HUD Emailing List

HUD Emailing List

For those of you who aren’t already aware, you can sign up for to be on HUD’s email list.  HUD periodically distributes emails that contain recent updates and broadcast trainings.

The content is primarily geared towards lenders, especially those who are unlimited Direct Endorsement lenders, but the content is also valuable for Real Estate Agents and Mortgage Loan Officers as the information gives insight into the changes to which lenders will have to adapt.  From an RE Agent’s or Mortgage Broker’s view, it can help to foretell upcoming changes in lending practices as it pertains to FHA-insured loans.

If you want to sign up for the newsletter, simply send an email to jarrold.h.mayer@hud.gov and vertically list the emails that you would like to register in the body of the email.  You can list as many as you want.  The emails come sporadically, but typically twice per week.

Today’s email contains the following content:

 

Bulk FHA Case Number Cancellation Instructions for Lenders:

Purpose: To allow case number cancellations in bulk for FHA loans that qualify for the reduced Mortgage Insurance Premium (MIP) structure described in Mortgagee Letter (ML) 2012-04.

Affected Product: Streamline Refinance Transactions which have not yet closed

Effective Date: Lenders may submit bulk case number cancellation requests immediately. Although FHA Homeownership Center (HOC) staff may begin immediately to cancel case numbers, no new case numbers will be issued until June 11, 2012.

FHA Connection (FHAC) will check cancellation requests for the following criteria:

· The case number to be canceled is for a streamline refinance.

· The case number to be canceled is for a mortgage that has not yet closed.

· The existing mortgage was endorsed on or before May 31, 2009.

 

Reminders

· FHAC does not perform a net tangible benefit test (see ML 2011-11 at: http://portal.hud.gov/hudportal/documents/huddoc?id=11-11ml.pdf and HUD Handbook 4155.1.6.C, at: http://portal.hud.gov/hudportal/documents/huddoc?id=4155-1_6_secC.pdf

 

It is the lender’s responsibility to ensure that the new mortgage meets the net tangible test.

· A streamline refinance which reduces the term is acceptable if the new mortgage meets the net tangible benefit test.

 

Important Dates:

 

 May 31, 2009: Latest endorsement date of existing FHA-insured mortgages being refinanced which qualify for case number cancellation if meeting all other criteria for cancellation.

 

April 09, 2012: Availability of Endorsement Date on the Refinance Authorization Query Screen in FHAC. The Refinance Authorization Screen can be found on the Case Processing Screen.

 

April 27, 2012: Availability of “Different MIP Structure” as a reason for cancellation on the Case Cancellation Screen in FHAC. FHAC will check that the new FHA loan meets the eligibility criteria for the lower MIP structure described in ML 2012-04.

 

June 11, 2012: Lenders may request new case numbers for FHA to FHA streamline refinance loans that are eligible for the lower MIP structure described in ML 2012-04. New case numbers issued prior to June 11, 2012 are not eligible for the lower MIP structure.

 

Non Credit Qualifying Streamline Refinance: No appraisal is required. However, if the appraisal already exists:

 

· and expires before the loan closes, the lender may process the streamline refinance without an appraisal, using FHA guidelines; or

· if the appraisal will be valid when the loan closes, lenders must click the appropriate check box on the Appraisal Logging Screen in FHA Connection which certifies that the date of the appraisal precedes the FHA case number assignment date because the previous FHA case number was cancelled.

Credit Qualifying Streamline Refinance: If the appraisal will expire before the loans closes, the lender must obtain a new appraisal after receiving a new case number. Lenders may charge the cost of the new appraisal to the borrower. The cost of the appraisal may not be financed into the new mortgage.

The Condominium Project Approval Team at ReadySetLoan is dedicated to helping condominium projects across the nation to obtain their approvals with FHA and the VA or become recertified with FHA.  We have assisted nearly 200 condominiums and we can help your association.

 

ReadySetLoan is an active member of the Connecticut and New England chapters of the Community Associations Institute (CAI) and is a frequent contributor to Common Interest Magazine as an expert in FHA/VA condominium project approvals.

 

Please contact us with any questions regarding FHA or VA condominium project approvals.  You can email me at askeric@readysetloan.com or call me at 404-433-4565. I will be happy to answer any of your questions.

 


FHA/VA Condo Approval Specialist

404-433-4565 Cell Phone

860-644-3772 Fax Phone

eric.boucher@readysetloan.com
ready set loan condo team

 

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 Check out our article in Common Interest magazine on page 19!

Find Eric Boucher with ReadySetLoan Condo Team on Google+

Comment balloon 3 commentsReadySetLoan Condo Approval Team • April 11 2012 05:52AM

Comments

Great information, thank for sharing.

Posted by Donald Urschalitz, P.A. Realtor ABR RSPS North Palm Beach County (One World Realty Inc.) over 6 years ago

We are a HUD certified office. We like staying informed when it comes to HUD

Posted by Harry F. D'Elia, Investor , Mentor, GRI, Radio, CIPS, REOs, ABR (Real Estate and Beyond, LLC) over 6 years ago

Good information , thanks for sharing the news, always good to stay well informed.

Posted by Diane Daley (Caron's Gateway Real Estate) over 6 years ago

Participate