FHA issued Mortgagee Letter 2023-10 modifying Home Equity Conversion Mortgage (HECM) Assignment Claim Type 22 submission criteria and documentation requirements. Per the Mortgagee Letter, FHA:
- lowered the maximum claim amount required to submit an assignment claim for preliminary title approval (PTA) from 97.5% to 97.0%;
- Implemented a change to allow lenders and servicers to submit original Notes and Mortgages to FHA no later than 90 days after assignment claim payment date;
- For HECMs with FHA case numbers assigned before September 19, 2017, extended the timeframe for delivery of assignments of the mortgage to FHA from 6 months to 12 months (making the assignment delivery timeframe the same for all HECMs); and
- Modified the supporting documentation lenders and servicers must submit to be eligible for PTA.
The Mortgagee Letter is effective May 17, 2023.
Click to view the FHA Mortgagee Letter 2023-10: https://www.tenaco.com/wp-content/uploads/2023/05/FHA-Mortgagee-Letter-2023-10-05-17-23.pdf
Click to view the FHA Info #2023-38: https://www.tenaco.com/wp-content/uploads/2023/05/FHA-Info-2023-38-05-17-23.pdf
