FHA INFO #16-38: Mortgagee Letter 2016-09

Investor Update
June 22, 2016

Today, the Federal Housing Administration’s (FHA) Office of Single Family Housing published Mortgagee Letter 2016-09, Delivery of Advice of Payment and Title Approval, which announces the elimination of hard copy mailings of Advice of Payment and Title Approval letters to holders and servicers, with certain exceptions1, as the information is available electronically through the FHA Connection (FHAC) system. FHA will discontinue the hard copy mailings on June 28, 2016.

As noted in today’s Mortgagee Letter, elimination of the hard copy mailings of the two letters does not change the FHA requirement that the information be maintained by the mortgagee in the mortgagee’s Claim Review File. In addition, the Mortgagee Letter contains Single Family Housing Policy Handbook 4000.1 (SF Handbook) changes that will supersede sub-sections of the SF Handbook’s Claims and Disposition section when this section becomes effective on September 30, 2016. The SF Handbook changes noted in the Mortgagee Letter are planned to be incorporated into the SF Handbook in September 2016.

1. Claims processed outside of FHAC (e.g., Hawaiian Home Lands, Indian Lands, and re-conveyance) will continue to receive hard copy, mailed Advice of Payment and Title Approval letters.

Quick Links

TOTAL Mortgage Scorecard Counsel Type Field Data Change Reminder

On June 11, 2016, the Federal Housing Administration (FHA) implemented technical changes to its Technology Open To Approved Lenders (TOTAL) Mortgage Scorecard. As a reminder, as of June 11, all TOTAL Mortgage Scorecard submissions now require a response in the Counsel Type field.

The two Counsel Type field response options are:

  • A = No HUD Approved Counseling; or
  • D = HUD Approved Counseling Agency. To determine whether an organization is a HUD-Approved Housing Counseling Agency, please refer to the “find a counselor” information on HUD.gov.

Blank or “N/A” responses are no longer acceptable values. Automated Underwriting System (AUS) vendors have made accommodations to their systems for this change.

Mortgagees’ accurate responses in this field are critical for allowing HUD to measure its progress toward meeting its goal to increase the number of FHA-insured mortgages with borrowers who are benefitting from housing counseling. This data will also provide valuable insights regarding the role of counseling in FHA programs; its ability to improve outcomes for borrowers; and to strengthen the health of the FHA’s Mutual Mortgage Insurance Fund.

Quick Links

Resources

  • Contact the FHA Resource Center:

— Visit our online knowledge base to obtain answers to frequently asked questions 24/7 at:
www.hud.gov/answers.
— E-mail the FHA Resource Center at answers@hud.gov. Emails and phone messages will be responded to during normal hours of operation, 8:00 AM to 8:00 PM (Eastern), Monday through Friday on all non-Federal holidays.
— Call 1-800-CALLFHA (1-800-225-5342). Persons with hearing or speech impairments may reach this number by calling the Federal Relay Service at 1-800-877-8339.

Source: HUD

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CEO

Alan Jaffa

Alan Jaffa is the Chief Executive Officer for Safeguard Properties, steering the company as the mortgage field services industry leader. He also serves on the board of advisors for SCG Partners, a middle-market private equity fund focused on diversifying and expanding Safeguard Properties’ business model into complimentary markets.

Alan joined Safeguard in 1995, learning the business from the ground up. He was promoted to Chief Operating Officer in 2002, and was named CEO in May 2010. His hands-on experience has given him unique insights as a leader to innovate, improve and strengthen Safeguard’s processes to assure that the company adheres to the highest standards of quality and customer service.

Under Alan’s leadership, Safeguard has grown significantly with strategies that have included new and expanded services, technology investments that deliver higher quality and greater efficiency to clients, and strategic acquisitions. He takes a team approach to process improvement, involving staff at all levels of the organization to address issues, brainstorm solutions, and identify new and better ways to serve clients.

In 2008, Alan was recognized by Crain’s Cleveland Business in its annual “40-Under-40” profile of young leaders. He also was named a NEO Ernst & Young Entrepreneur Of The Year® Award finalist in 2013.

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Esq., General Counsel and EVP

Linda Erkkila

Linda Erkkila is the General Counsel and Executive Vice President for Safeguard Properties, with oversight of legal, human resources, training, and compliance. Linda’s broad scope of oversight covers regulatory issues that impact Safeguard’s operations, risk mitigation, strategic planning, human resources and training initiatives, compliance, insurance, litigation and claims management, and counsel related to mergers, acquisition and joint ventures.

Linda assures that Safeguard’s strategic initiatives align with its resources, leverage opportunities across the company, and contemplate compliance mandates. She has practiced law for 25 years and her experience, both as outside and in-house counsel, covers a wide range of corporate matters, including regulatory disclosure, corporate governance compliance, risk assessment, compensation and benefits, litigation management, and mergers and acquisitions.

Linda earned her JD at Cleveland-Marshall College of Law. She holds a degree in economics from Miami University and an MBA. Linda was previously named as both a “Woman of Influence” by HousingWire and as a “Leading Lady” by MReport.

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COO

Michael Greenbaum

Michael Greenbaum is the Chief Operating Officer of Safeguard Properties, where he has played a pivotal role since joining the company in July 2010. Initially brought on as Vice President of REO, Mike’s exceptional leadership and strategic vision quickly propelled him to Vice President of Operations in 2013, and ultimately to COO in 2015. Over his 14-year tenure at Safeguard, Mike has been instrumental in driving change and fostering innovation within the Property Preservation sector, consistently delivering excellence and becoming a trusted partner to clients and investors.

A distinguished graduate of the United States Military Academy at West Point, Mike earned a degree in Quantitative Economics. Following his graduation, he served in the U.S. Army’s Ordnance Branch, where he specialized in supply chain management. Before his tenure at Safeguard, Mike honed his expertise by managing global supply chains for 13 years, leveraging his military and civilian experience to lead with precision and efficacy.

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CFO

Joe Iafigliola

Joe Iafigliola is the Chief Financial Officer for Safeguard Properties. Joe is responsible for the Control, Quality Assurance, Business Development, Marketing, Accounting, and Information Security departments. At the core of his responsibilities is the drive to ensure that Safeguard’s focus remains rooted in Customer Service = Resolution. Through his executive leadership role, he actively supports SGPNOW.com, an on-demand service geared towards real estate and property management professionals as well as individual home owners in need of inspection and property preservation services. Joe is also an integral force behind Compliance Connections, a branch of Safeguard Properties that allows code enforcement professionals to report violations at properties that can then be addressed by the Safeguard vendor network. Compliance Connections also researches and shares vacant property ordinance information with Safeguard clients.

Joe has an MBA from The Weatherhead School of Management at Case Western Reserve University, is a Certified Management Accountant (CMA), and holds a bachelor’s degree from The Ohio State University’s Honors Accounting program.

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Business Development

Carrie Tackett

Business Development Safeguard Properties