Supervised Mortgagee Application Package Checklist

Chapter and Paragraph references in this checklist are to parts of the Title II Mortgagee Approval Handbook 4060.1, Rev-2

✔️ FHA Lender Approval Application Form 11701 completed online.

Common Errors in Mortgagee Application Form for Supervised Mortgagee Approval

Section A
✔️ Items 7, 8, 12 and/or 13 not filled in.
✔️ Item 14: Did not include SSN and TAX ID numbers which FHA uses to verify no officer or owner is debarred or suspended by any Federal government agency or has defaulted on any government assisted loan (includes FHA, VA and student loans) Paragraph 2 10
✔️ Item 14: Checked more than one officer in charge of day-to-day operations. Please check only one officer.

Section C
✔️ Item 5: Did not check box for supervised (not loan correspondent)
✔️ Items 9: or 11 not filled in
✔️ Item 10: If you only want to originate, only check boxes for Title I originations and/or Title II 1-4 Family Mortgages. If you want to also underwrite, service and/or own, check the service boxes. You can also check the multifamily boxes.

If only applying for Title I approval, please see the Title I Lender Approval Handbook 4700.2, Title I Letters 469, 478 and 2003-01

✔️ $1,000 Application Fee: Pay Online. Paragraph 2-7

✔️ State DBA Approval, If applicable (include copy of State certificate for use of the DBA, Fictitious or Assumed Name) Paragraphs 2-4 and 3-2(A)8

✔️ Copy of Fidelity Bond: $300,000 minimum covering applicant’s employees and agents. HUD does not have to be the beneficiary. Paragraph 3-2(A)10

✔️ Copy of Errors & Omissions Insurance: $300,000 minimum covering applicant’s employees and agents. HUD does not have to be the beneficiary. Paragraph 3-2(A)11

✔️ Quality Control Plan: Must be plan of applicant, tailored to applicant’s duties with regard to FHA loans. Detailed requirements are in Chapter 7 but it cannot be a copy of this chapter since it explains what the Quality Control Plan must cover and is a guide. Paragraphs 7-1 through 7-12, as appropriate

Submit the application online

The processing time for a complete application is 45-60 days depending on the number of other applications in the processing pipeline.