The U.S. Department of Agriculture has issued guidance for conducting its mandated five-year review to identify areas that no longer qualify as rural for housing programs. For purposes of establishing eligibility to participate in USDA direct and indirect single-family housing guaranteed programs, “rural” and “rural area” are defined as “any open country, or any place, town, village or city which is not part or associated with an urban area.” To be designated as rural or rural area, the area must have a population not exceeding 2,500 inhabitants or a population of more than 2,500 up to 10,000, “if it is rural in character.” An area with more than 10,000 inhabitants up to 20,000 may be classified as rural if it is not within a standard metropolitan statistical area and “has a serious lack of credit for lower and middle-income families, as determined by the [USDA] secretary or the secretary of the ...
Maintenance Notice of HUD’s Lender Electronic Assessment Portal and Electronic Appraisal Delivery System. The Department of Housing and Urban Development has announced a systems check for its Lender Electronic Assessment Portal (LEAP) and Electronic Appraisal Delivery (EAD) system as part of routine maintenance. LEAP will be unavailable from 8 a.m. (Eastern), Nov. 10, 2017, through 8 a.m. (eastern), Nov. 12, 2017. During the period, lenders will be unable to submit recertification packages, change requests, notices of material events, or edit institutional data. Normal operations will resume at 8 a.m., Nov. 12. The EAD Integration and Production system is scheduled for regular maintenance and will be unavailable from 12 p.m., Nov. 11, 2017, through 9 p.m., Nov. 12. Operations will resume once systems check is complete. FHA Issues Policy Waiver for Major Disaster Areas in Puerto Rico. The ...
Two of the nation’s largest reverse mortgage lending platforms are on the auction block with a third contemplating an exit via a servicing sale. Coupled with higher upfront premiums on the product, all is not well with the sector.
While the Department of Housing and Urban Development’s newly implemented FHA Loan Review System and its defect taxonomy has reduced lender exposure to false-claims risk, the system needs more tweaks to become fully efficient, says the Mortgage Bankers Association. While acknowledging great improvement in lender certainty and clarity regarding False Claims Act risk, the MBA wants to see “assignment-specific remedies” for each tier of defect severity. And though lenders say ...
The Department of the Treasury, in the third of four reports related to an executive review of federal financial regulations, urged the Department of Housing and Urban Development to reconsider its use of disparate impact policy in the insurance industry. Released last week, the latest report focused on asset management and insurance and the regulatory structure of financial entities and products in each of these structures. Treasury called upon HUD to reevaluate its use of the ...
There continues to be some nervousness about VA receivables because of streamlined refinancings, although regulators are trying to curb abuses in the program.
Aggressive refinancing now occurs immediately after the six-month window has expired, as some of the activity may have shifted into the custom pool market…
RSS