Apr 26, 2019 19-09

Updated Response to HUD Mortgagee Letter 19-06 & 19-07

Update to HUD Mortgagee Letter 19-06 dated April 18, 2019

Our commitment to our partners and the community remains unchanged. It is business as usual at MFA!

HUD announced a 90-day extension to the effective date of Mortgagee Letter 19-06 in Mortgagee Letter 19-07 issued on April 25, 2019.

As required by HUD’s Mortgagee Letter 19-06 dated April 18, 2019, which concerns down payment assistance and operating in a governmental capacity, MFA and its general legal counsel confirm that our down payment assistance program operates in a manner consistent with current HUD guidelines as stated in 4000.1 of the Single Family Housing Policy Handbook.

1. New Mexico Mortgage Finance Authority (the “Authority”)is duly existing as a public body politic and corporate, validly organized and created under the Mortgage Finance Authority Act, Sections 58-18-1 through 58-18-27 inclusive, and Section 2-12-5, New Mexico Statutes Annotated 1978, as amended (the “Act”).
2. MFA's attorney opinion regarding MFA’s down payment assistance and jurisdiction is available on our website for immediate use. We are in process of integrating the letter into our commitment letter.
3. In conjunction with legal counsel, MFA is reviewing and if necessary revising our current forms to fulfill the regulatory requirements outlined in Mortgagee Letter 19-06.  We are committed to rolling out the revised forms ahead of the extended timeframe of July 23, 2019. Until otherwise communicated please continue to use our existing forms.

Please note all terms and conditions of the Mortgage Purchase Master Agreement remain in full effect.

We will keep you posted as additional guidance and clarification from HUD becomes available. Thank you for your continued support.