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d. Investing Mortgagee (06/20/2024)
i. Definition
An Investing Mortgagee is an organization that invests funds under its own control and is not approved as a Supervised Mortgagee, a Nonsupervised Mortgagee, or a Government Mortgagee.
ii. Standard
An Investing Mortgagee must meet the general approval requirements set forth below and:
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I. DOING BUSINESS WITH FHA A. FHA Lenders and Mortgagees (09/20/2021)
3. Application and Eligibility Requirements for Approval
• have staff capable of managing the Mortgagee’s activities relating to its FHA- insured Mortgages;
• have an acceptable Business Form;
• demonstrate Creditworthiness; and
• have an acceptable Funding Program.
iii. Activities Authorized
An Investing Mortgagee may purchase, hold, or sell FHA-insured Mortgages. An Investing Mortgagee may only service FHA-insured Mortgages if it receives prior approval.
iv. Activities Not Authorized
An Investing Mortgagee may not originate, underwrite, or close FHA-insured Mortgages in its own name or submit applications for FHA mortgage insurance.