MORTGAGE BROKER APPROVAL CRITERIA by niusheng11

VIEWS: 10 PAGES: 4

									Direct Mortgage, Corp.
6955 S. Union Park Center, Suite 540
Midvale, Utah 84047
(801) 924-2300
www.directcorp.com




MORTGAGE BROKER FHA UPGRADE APPROVAL CRITERIA
This document is for brokers who are already approved with Direct Mortgage and who wish to
begin originating FHA loans. Brokers who are not yet approved with Direct Mortgage should apply
through our online application which can be started by entering your email address at:
www.directmortgagewholesale.com/brokersignup/Pages/EmailGateway.aspx?Type=B

    1. Effective July 31, 2010, companies must meet the NMLS licensing requirements as
       directed by the SAFE Act http://www.hud.gov/offices/hsg/ramh/safe/smlicact.cfm and as
       required by state law for each state you are doing business.

    2. Company may not co-mingle other business entities at licensed branch locations. For
       example, Real Estate companies, title companies, escrow companies or other financial
       services related companies may not be operated from the same locations.

    3. DMC will plan a site visit of all licensed and proposed office locations.

    4. Minimum liquid net worth, as evidenced by business bank statements (personal bank
       statement is acceptable for sole proprietorship), is determined by the number of Loan
       Officers employed by your company. The liquid net worth is $1,000 per each Loan
       Officer employed, with a minimum requirement of $5,000 liquid net worth for companies
       employing between 1 and 5 loan officers. Companies with 6 Loan Officers are required
       to have a liquid net worth of $6,000, and so forth.

    5. Company, officers and loan officers must not be on any industry or investor exclusionary
       list. Company shall provide a list of all loan officers employed by the company; including
       loan officer name, NMLS Identification Number (when available) or Division of Real
       Estate license number, office phone number, cell phone number, fax number, email
       address. Company to provide updated list each month, identifying changes to the loan
       officer list. DMC will review each list against industry and investor exclusionary lists.

    6. Company shall provide a current list of all pending loan repurchase requests or claims,
       and provide written explanation for each loan. Liquid net worth sufficient to cover the
       repurchase requests may be required.

    7. Company has no adverse comments on industry compliance reports (MARI,
       FraudGuard, etc.). Written explanation of all adverse comments will be required.

    8. DMC to designate the HUD Field Office for each originating office of Company.
       Company requests for specific Field Offices will be considered. Changes to the
       designated field office may be requested by the Company every 60 days.

    9. Application/Reinstatement/Renewal fee:
          a. Existing DMC approved broker seeking approval to fund FHA loans:
Direct Mortgage, Corp.
6955 S. Union Park Center, Suite 540
Midvale, Utah 84047
(801) 924-2300
www.directcorp.com




                    i. No charge, if current “Submitted” pull-through is equal to or greater than
                       60% and the Company funded 2 loans with DMC within the previous 90
                       days.
                   ii. $200* per Branch if current “Submitted” pull-through is less than 60% or
                       the company has not funded 2 loans with DMC within the previous 90
                       days.
             b. Reinstatement:
                    i. $200 per Branch for Companies seeking reinstatement after DMC
                       approval has been cancelled.
             c. Annual Renewal (see Renewal requirements, # 13 above):
                    i. No charge, if current “Submitted” pull-through is equal to or greater than
                       60% and the Company funded 12 loans within DMC in the past 12
                       months and 2 loans with DMC within the previous 90 days.
                   ii. $200* per Branch, if current “Submitted” pull-through is less than 60%
                       and/or the company has not funded 2 loans with DMC within the previous
                       90 days.

                          * Application fee may be credited back if your company funds 2 loan within 90 days of
                          approval. Companies seeking reinstatement are not eligible for reimbursement of
                          Reinstatement Fee.


(See Next Page For FHA Application Details)
Direct Mortgage, Corp.
6955 S. Union Park Center, Suite 540
Midvale, Utah 84047
(801) 924-2300
www.directcorp.com




MORTGAGE BROKER FHA UPGRADE APPLICATION PACKAGE

The following application items are required for approval to originate FHA loans through
Direct Mortgage, Corp. Please email ALL the documents to
BrokerSignup@DirectCorp.com.

         Copies of approval from the NMLS and/or the department of Real Estate which
         supervises the License for the state(s) the company is presently operating in.
         Copy of the filed Fictitious Business Name Statement (dba), if applicable, or
         authorized branch letter of federally chartered bank or other branching company
         Current “Letter of Good Standing” report from the state’s business licensing
         division.
         Signed credit authorization form for each principal.
         Letter from company, signed by the principal, identifying all loan repurchase
         requests and a written explanation for each.
         Copy of all State licenses.
         List of each loan officer and processer associated with each branch - including
         name, NMLS Identification Number (when available) or Division of Real Estate
         license number, office phone number, cell phone number, fax number, email
         addresses.
         Current Financials:
             o Balance Sheet
             o Profit and Lost statement
             o Business bank statement (Personal Bank Statement – if sole proprietor)
                 dated within last 30 days.
         Written explanation of all adverse comments identified on industry compliance
         reports, as applicable.
         Signed Authorization Release for Business and Individuals
         Pay the $200 fee through the shopping cart in DirectWare®. (Open a loan, select
         "Shopping Cart Products" (menu item 23) then "FHA Broker Approval" (under Government
         Products).


       Important Notes Regarding Your Application
       1.   Allow 3-5 days for your application to be processed and approved. The $200 processing fee, if
            applicable, will be refunded if you close and fund 2 loans within 90 days of approval.
       2.   The $200 fee should be paid from the shopping cart in DirectWare. You can do this by clicking on
            "Shopping Cart Products" (menu item 23) then "FHA Broker Approval" (under Government Products).
       3.   Upon approval you will receive a confirmation email informing you that we have updated our system to
            allow you to originate FHA loans. If your application is incomplete or further information is necessary in
            order to process your application, DMC’s broker approval department will notify you.
       4.   The broker approval fee for FHA must be paid prior to FHA activation. If the broker has an outdated or
            missing broker agreement, broker will be required to sign an updated DMC Broker Agreement.
       5.   Non-HUD approved brokers MUST attend FHA training within 30 days of FHA activation.
       6.   No advance FHA submissions are allowed. Must be FHA approved prior to submission.
       7.   For status updates, please contact your Account Executive or Regional Sales Manager.
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                
               
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               
        
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

               
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
            
               
                  
                  
             
       



                 



 











                         Signatures


								
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