FHA Confirms Expiration of Temporary Guidance for Re-Verification of Employment and Appraisal Scope of Work Option Updates

FHA recently issued a reminder that the temporary guidance, which addressed changes to the requirements for re-verification of employment and appraisal protocols for FHA Single Family Programs due to the COVID-19 pandemic, expire as expected on June 30, 2021.  This guidance was originally announced on March 27, 2020, in Mortgage Letter 2020-5 as later updated by Mortgagee Letter 2020-37, and was set to expire on May 17, 2020.  However, Mortgage Letter 2020-14 extended the guidance to cases through June 30, 2020.  FHA does not expect the guidance’s expiration to significantly affect the industry based on current data that indicate it has been minimally implemented.   

WBK previously covered this topic herehere, here, and here.