FHA Info # 19-07 – Managing Mortgage Risk Trends – FHA Changes to TOTAL Scorecard – March 14, 2019, Effective March 18, 2019

Written By:  Tracey Rumsey, Staff Writer FHA came out of nowhere and gave the industry a short day-and-a-half notice on changes in their automated underwriting system.  This update addresses those changes and what we are observing so far. Rule Synopsis: TOTAL Mortgage Scorecard is being updated to address the concerns with mortgages with higher-risk characteristics [...]

2019-04-09T11:49:38-05:00April 10th, 2019|

FHA – Debt Not Reported on Credit Report: Why will TOTAL not accept a debt that is not reported on the credit report? NEW MTP™ – What Triggers an FHA Manual Underwriting Requirement?

Answer: FHA requires a downgrade to manual underwriting when the mortgage file contains information or documentation that cannot be entered into or evaluated by TOTAL Mortgage Scorecard.  TOTAL can’t “read” a credit supplement. Reference: 4000.1, II, A, 4, a v. Accept Risk Classifications Requiring a Downgrade to Manual Underwriting (TOTAL) The Mortgagee must downgrade and [...]

2018-12-26T07:48:25-05:00December 25th, 2018|