Last Chance for Lenders to Register and get Onboarded

0 0

HUD/FHA’s Electronic Appraisal Delivery (EAD) Portal Deadline Approaching

The HUD/FHA Electronic Appraisal Delivery (EAD) portal will become mandatory for use by all mortgagees on June 27, 2016.  In order to prevent huge disruptions in their FHA loan origination pipeline, “lenders are encouraged to get registered for onboarding to the EAD portal before the effective date”, was the word from HUD in a News Release, dated April 7, 2016.

In this regard, the very last onboarding phase begins on April 15, 2016, and if your Firm has yet to go through this process, you should register by April 14, 2016.  Click here to find out how to go about registering.

Once a lender has gone through this process – they will be expected to submit FHA appraisal reports and data to FHA for all FHA loan transactions that require an appraisal.

The advantages that this technology will bring to the industry include:

• Any data integrity and compliance issues related to the appraisal will be identified up-front
• Errors rates on endorsements should greatly decline
• Data entry functions will be streamlined as the portal will interface with FHA Connection’s Appraisal Logging Screen

The bad news for procrastinating lenders is that as of June 27, 2016,  lenders that have not been successfully “onboarded” to the EAD portal will be unable to submit appraisals to FHA for all new case numbers assigned on and after that date. Also, they will be unable to enter appraisal information into FHA Connection or obtain FHA mortgage insurance.

 Loading ...

To obtain additional information go to the EAD Portal.

Don’t put this important task off – time is running out!

About the Author

Gerry Glavey

Gerard (Gerry) Glavey is Senior Vice President / Chief Credit Officer for LoanLogics. Gerry has decades of experience working in residential mortgage credit and compliance and brings insights that few in the industry can match. In his role, he develops new services and provides support for all post close quality control and quality assurance, pre-close quality control, due diligence services, and document processing services. He spent 37 years with the US Department of Housing and Urban Development, where most recently he was the Director, Processing and Underwriting Division for the Home Ownership Center (HOC) in Philadelphia. In this capacity, Mr. Glavey was responsible for the administration of all HUD/FHA Single Family Loan Origination activities, including underwriting, appraisal and endorsement for the 16 state jurisdiction of this HOC.