CitiMortgage Inc. has advised some mortgage brokers that they cannot submit loans insured by the Federal Housing Administration.
In an announcement last week, CitiMortgage told mortgage brokers that unless they are currently approved and re-certified by FHA for 2010, they cannot submit FHA registrations.
The O’Fallon, Mo.-based lender will continue to accept registrations until Dec. 31 from brokers that are currently approved and re-certified by FHA for 2010.
Citi highlighted the U.S. Department of Housing and Urban Development’s final rule eliminating FHA’s requirement that brokers obtain a separate FHA approval.
“CitiMortgage is currently reviewing the new rule and will announce any policy changes in the near future,” the announcement stated.
