| Loan Quality Initiative: Update |
In March 2013, the MPF® Program began publishing PFI Advisories on the subject of Quality Mortgage Guidance. Through the quality control review process the MPF Program identifies common underwriting deficiencies across all PFIs reviewed. As part of our efforts to help PFIs originate and underwrite high quality mortgages, we periodically remind PFIs of origination and underwriting policies and best practices based on recent common underwriting deficiencies. We have two main goals in providing PFIs with this information. First, we want to help your staff become aware of the MPF Program guidelines and second, we strive to support you in ensuring that your organization will produce investment quality mortgages that are less likely to require corrective action on your part after delivery.
Each subject is presented with a brief description of the governing policy, a related MPF Guide chapter reference, and any educational opportunity that may be available to your staff on the subject. The subjects to be covered in the next Quality Mortgage Guidance PFI Advisory include: proper automated underwriting system data and conditions, appraisal reviews, and credit documentation. |
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