This topic consolidates the latest industry publications pertaining to natural disasters, including FEMA declarations, agency issuance's, and impact analyses from top industry providers.
The Small Business Administration addresses questions related to good-faith errors made either by borrowers or lenders that result in loan amounts exceeding the eligible max. Borrowers may not receive forgiveness for excess loan amounts.
The Small Business Administration released information for PPP lenders on the process for borrowers to resubmit loan forgiveness applications using the simplified Form 3508S if they had already applied using earlier forms.
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The Small Business Administration (SBA), in consultation with the Department of the Treasury, is providing this guidance to assist businesses in calculating their revenue reduction and payroll costs (and the relevant documentation that is required to support each set of calculations) for purposes of determining their eligibility for and amount of a Second Draw PPP Loan.
The Federal Housing Finance Agency (FHFA) announced that Fannie Mae and Freddie Mac (the Enterprises) will extend the moratoriums on single-family foreclosures and real estate owned (REO) evictions until February 28, 2021.
Fannie Mae LL-2021-04 announces an extension of effective date: extending the application dates eligible for these temporary flexibilities to February 28, 2021, unless otherwise noted; and that content was reorganized and like content was moved closer together (e.g., HomeStyle Renovation content) and two sections were removed (Identification of a Fannie Mae loan and Delivery requirements).
Fannie Mae LL-2020-03 extends the application dates for verbal verifications of employment and power of attorney flexibilities to February 28, 2021; reorganizes content to show first the policies with explicit expiration dates and move like content closer together (income and employment); removes outdated content that no longer applies (such as quality control flexibilities, submission of financial statements, and reminders of current policies in the Selling Guide).
"We are already ahead of the game and without having to add additional FTEs."
- Julie Baril, QC Manager at Norcom Mortgage
Fannie Mae announces the COVID-19 Selling FAQs were updated to address year-to-date profit and loss statements and FAQs that pertained to COVID-19 policies that have expired have been removed.
Freddie Mac is extending COVID-19 temporary flexibilities for employed income 10-day pre-closing verifications, appraisal, and GreenCHOICE Mortgages®, condominium projects, and power of attorneys (POAs) for mortgages with application received dates through February 28, 2021, as well as updated the COVID-19 Selling FAQs to address year-to-date profit and loss statements and remove several FAQs pertaining to post-funding quality control flexibilities that are no longer in effect.
DSNews--Phil Hall
A Stanford University study, published in the journal Proceedings of the National Academy of Sciences, estimates that $75 billion of the $199 billion in flood damages that occurred between 1988 and 2017 was the result of dramatic changes to the global climate.
Mortgage Professional America – Cabdyd Mendoza
One of the nation's largest malls, the owners of Mall of America, announced on Monday that it is no longer delinquent after missing months of payments during the pandemic.
Automated compliance tests to ensure compliance on more loans in less time
The state of New York has established the Coronavirus Emergency Eviction and Foreclosure Prevention Act, effective immediately and expire on May 1, 2021.
The NCUA Board issued is extending the effective date of its temporary final rule which raised the maximum aggregate amount of loan participations that a FICU may purchase from a single originating lender to the greater of $5,000,000 or 200 percent of the FICU's net worth; temporarily suspended limitations on the eligible obligations that a Federal credit union (FCU) may purchase and hold; tolled the required timeframes for the occupancy or disposition of properties not being used for FCU business or that have been abandoned; until December 31, 2021.
FHA Mortgagee Letter 2020-47 announces an extension of Re-verification of Employment and Exterior only Appraisal scope of work option for Federal Housing Administration (FHA) Single Family programs impacted by the Coronavirus Disease of 2019 (COVID-19).
FHA Mortgagee Letter 2020-46 extends the temporary guidance published in ML 2020-24, dated July 27, 2020, and extended in ML 2020-40, dated November 25, 2020 related to verification of self-employment and verification of Rental Income for Single Family Title II Forward Mortgage and HECM Programs, and 203(k) escrow administration for the 203(k) Rehabilitation Program, in response to impacts from the Presidentially-Declared COVID-19 National Emergency.
