Compliance Calendar

The Illinois Department of Financial and Professional Regulation adopted provisions relating to its Predatory Loan Prevention Act. See pages 375-384 of the Illinois Register for further details.

The state of Louisiana amended its provisions regarding remote online notarial acts. These provisions are effective on August 1, 2022.

To amend and reenact R.S. 35:626(B) and to enact R.S. 35:626(C), relative to notaries; to provide relative to remote online notarization; to provide relative to execution of 4 certain notarial acts; and to provide for related matters.

Be it enacted by the Legislature of Louisiana: 6 Section 1. R.S. 35:626(B) is hereby amended and reenacted and R.S. 35:626(C) is 7 hereby enacted to read as follows:

§626. Location of notary, parties, and witnesses; location of remote online notarial act

B. A remote online notarial act is deemed to be executed in any parish of this state where any party is physically located at the time of the remote online notarization. If no party was physically located in this state at the time of the remote online notarization, the remote online notarial act is deemed to be executed in the parish where the notary public is physically located at the time of the remote online notarization if the notary public has jurisdiction in that parish.

C. An action on a contract that is a remote online notarial act may be brought in any parish in which a party was physically located at the time of the remote online notarization.

The state of Louisiana amended its provisions by removing the population limitation regarding blighted or abandoned property effective on August 1, 2022.

HUD is implementing changes to its CWCOT procedures to provide an exclusive listing period as part of the Post-Foreclosure Sales period for Owner-Occupant Buyers, Governmental Entities, and HUD-approved Nonprofits to purchase foreclosed properties before they are offered to investors.

The Selling Guide has been updated to include changes to the following:

▪ Lender-funded grants: permitting lender-funded grants for certain transactions

▪ Verbal verification of employment alternative: adding an alternative to satisfy the verbal verification of employment requirement for non-DVS loans

▪ Miscellaneous update:

o DVS foreign income

Freddie Mac announces updates to properties with age-based resale restrictions, partial income representation, warranty relief, Fidelity insurance requirements, and a few additional guide updates in this bulletin effective immediately unless otherwise noted.

USDA Rural Development has made updates to HB-1-3555, Chapter 8 to make minor grammatical and formatting changes, correct discrepancies, and provide clarification for easier understanding of guidance.

Fannie Mae released its frequently asked questions for borrower-initiated termination of conventional mortgage insurance (MI) and simplified the process of evaluating borrower-initiated requests for MI termination.

Along with the implementation of the final rule for Mandatory use of the Guaranteed Underwriting System (GUS) and the Lender Loan Closing (LLC) system, the following forms have been updated: 3555-11, 3555-17, 3555-18, 3555-21. The following updated forms will be available with a new revision date of August 2022.

• Form RD 3555-21 Request for Single Family Housing Loan Guarantee and Form RD 3555-17, Loan Note Guarantee have been revised to allow up to five borrowers, to be consistent with the data in GUS.
• Form RD 3555-18, Conditional Commitment for Single Family Housing Loan Guarantee has been revised to allow up to five borrowers and remove reference to the “attached Lender Certification” and the lender is directed to electronically execute all loan closings in the LLC. The Lender Certification page was retained but has been relocated to the last page, as an optional form, to be used only when the LLC is officially unavailable.
• Form RD 3555-11, Lender Record Change has been revised to remove the social security number and protect the borrower’s PII and data redundancy.