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A. FHA LENDERS AND MORTGAGEES (09/20/2021)
The Doing Business with FHA section in this FHA Single Family Housing Policy Handbook (Handbook 4000.1) covers Federal Housing Administration (FHA) approval and eligibility requirements for both Title I Lenders and Title II Mortgagees, as well as other FHA program participants. The term “Mortgagee” is used throughout for all types of FHA approval (both Title II Mortgagees and Title I Lenders) and the term “Mortgage” is used for all products (both Title II Mortgages and Title I Loans), unless otherwise specified.
A Mortgagee must fully comply with all of the following approval and eligibility requirements in order to be approved by FHA to participate in the origination, underwriting, closing, endorsement, servicing, purchasing, holding, or selling of FHA-insured Title I Loans or Title II Mortgages at the time of approval and at all times after approval.
The requirements outlined below in subsections 1 through 9 apply to both Single Family (one- to four-units) and Multifamily Mortgagees. If there are any exceptions or program-specific requirements that differ from those set forth below, the exceptions or alternative program requirements are explicitly stated or hyperlinked to the appropriate guidance. Terms and acronyms used in this Handbook 4000.1 have their meanings defined in the Glossary and Acronyms and in the specific section of Handbook 4000.1 in which the definitions are located.