3565.103—Approval requirements.
The Agency will establish and maintain a “list of approved lenders”. To be an approved lender, eligible lenders must meet the following requirements and maintain them on a continuing basis at a level consistent with the nature and size of their portfolio of guaranteed loans.
(a) Commitment.
A lender must have a commitment for a guaranteed loan or an agreement to purchase a guaranteed loan.
(b) Audited statement.
A lender must provide the Agency with an annual audited financial statement conducted in accordance with generally accepted government auditing standards.
(c) Previous participation.
A lender may not be delinquent on a federal debt or have an outstanding finding of deficiency in a federal housing program.
(d) Ongoing requirements.
A lender must meet the following requirements at initial application and on a continuing basis thereafter:
(1)
Overall financial strength, including capital, liquidity, and loan loss reserves, to have an acceptable level of financial soundness as determined by a lender rating service (such as Sheshunoff, Inc.); or to be an approved Fannie Mae, Freddie Mac, Ginnie Mae or HUD Federal Housing Administration multifamily lender; or, if a state housing finance agency, to have a top tier rating by a rating agency (such as Standard and Poor's Corporation);
(2)
Bonding and insurance to cover business related losses, including directors and officers insurance, business income loss insurance, and bonding to secure cash management operations;
(5)
Adequate staffing and training to perform the program obligations; the head underwriter must have 3 years of experience and all staff must receive annual multifamily training;