Archive for the 'HUD' Category

Updated Statement by Deputy Assistant Secretary of HUD

August 10th, 2010

Written by Frost Mortgage

“Last week, FHA Commissioner David H. Stevens announced plans for implementing FHA’s new mortgage insurance premium structure. As we work to publish a Mortgagee Letter, it is our intention to announce that based on industry feedback and our desire to have this change implemented successfully in the marketplace, FHA will make the premium fee changes on all new case numbers effective October 4, 2010. “

“Over this past week, the industry responded with support of the new fee structure, but voiced strong concern about having system changes ready in time to meet the original September 7, 2010 deadline. Since these system changes impact regulatory disclosures, lenders expressed they must have the additional time to implement and test systems. FHA took this feedback seriously and has accommodated the need for additional time.”

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New HUD Protocol Offers Older Adults More Information and Deeper Financial Assessment, Using Tools and Materials Developed by NCOA

August 5th, 2010

Written by Frost Mortgage

WASHINGTON, Aug. 4 /PRNewswire-USNewswire/ — The U.S. Department of Housing and Urban Development (HUD) now requires all HUD-approved reverse mortgage counselors to provide their clients with the National Council on Aging’s (NCOA) 28-page consumer booklet on reverse mortgages. In addition, counselors must complete an extra level of financial assessment to help prospective borrowers gain a greater understanding of financial risk and other factors that may impact their loan.

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FHA loans: Net worth timeline, new monthly scorecard

June 22nd, 2010

Written by Frost Mortgage

The Federal Housing Administration (FHA) has been busy recently.

We’ve written before about a move to raise the minimum net worth worth requirements for loan originators. The FHA recently set out a timeline for implementation (MortgageDaily.com; subscription required). Among the requirements is a $1 million net worth for all new FHA applicants, with at least 20 percent being liquid. The timeline was announced in a mortgagee letter.

The new requirements are likely to shake up portions of the mortgage industry, making it all the more important to look for evidence of stability in your potential lending partner (such as Frost Mortgage’s “Full Eagle” status). If you have any questions, please feel free to contact one of our loan officers today–we’ll be happy to talk with you about our qualifications and the depth of our resources.

Meanwhile, the U.S. Department of Housing and Urban Development (HUD) and the Treasury Department have announced that they’ll be distributing a monthly “scorecard” on the national housing market, including updates on FHA programs. This should be a good resource for those of us who follow the industry closely and should help  us and our branch partners continue to provide you better service and useful products.

If you’re in the market for a loan, now is a great time thanks to low interest rates, and if you’re considering making a move up in the business, it’s a great time for that as well–Frost Mortgage has one of the best programs in the mortgage industry, and we’ve got the resources to thrive even in an environment like this one.

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HUD close to higher minimum net worth for lenders

May 10th, 2010

Written by Frost Mortgage

A new letter from the U.S. Department of Housing and Urban Development (HUD) outlines plans to raise minimum net worth requirements for prospective FHA mortgagees (MortgageDaily.com; subscription required).

The minimum net worth requirement had been $250,000 since 1993. Within the next few days, the amount will change to $1 million, though existing lenders will have one year to meet the new requirements.

Frost Mortgage has some of the best Branch Partner and Loan Officer offerings in the business. If the new requirements have you looking at platforms that can help you continue to be a top producer, give us a call–we don’t just close loans, we open doors.

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New home sales surge

April 28th, 2010

Written by Frost Mortgage

New home sales rose by almost 27 percent in March, the second consecutive month of growth and the biggest one-month jump in 47 years.

The U.S. Census Bureau and the Department of Housing and Urban Development (HUD) made the announcement recently, releasing figures showing a seasonally adjusted annual rate of 411,000.

We’ve said before that you can’t try to “time the market” when it comes to housing. This news, though, must be seen as a positive sign for the economy. And if you’re considering a Branch Partner Opportunity, this could be an encouragement. We hope to talk with you soon.

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3rd-party e-signatures now OK for FHA insurance application

April 13th, 2010

Written by Frost Mortgage

The department of Housing and Urban Development (HUD) will now allow electronic signatures on third-party documents as part of the Federal Housing Administration (FHA) mortgage insurance application.

In a mortgagee letter released last week, HUD said the policy is effective immediately for forward mortgages and Home Equity Conversion Mortgages. The letter continued:

Third party documents are those that are originated and signed outside of the mortgagee’s control, such as a sales contract. An indication of the electronic signature and date should be clearly visible when viewed electronically and in a paper copy of the electronically signed document. Mortgagees must employ the same level of care and due diligence with electronically signed documents that they would for paper documents with “wet” or ink signatures. Additionally, mortgagees are reminded that the origination case binder must be maintained in either hard copy or electronic format for two years from the date of endorsement [HUD Handbook 4000.2 REV-3].

These changes should make the process simpler and quicker for all involved. If you’re in the market for a mortgage, please consider Frost. Since 1991, from California to Florida, we’ve been doing more than just closing mortgages–we’ve been opening doors.

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