FHA CODs

[Doug Meyer]

On another thread I was reading where the lender must collect and disperse the FHA fee to the appraiser. The appraiser cannot collect the fee from the homeowner? If the lender directs the appraiser to collect the fee this is also not correct. We are receiving some FHA collect work and I want to be sure I am correct on these guidelines.. Thanks!

 

[Josh Shapiro]

I am not 100% on procedure, but I have been collecting the fee in advance from the lender by way of credit card or overnight check. It keeps me from having to collect from the home owner and it also guarantees payment...

 

[Doug Meyer]

Josh, I am also not 100% on procedure....

 

[SANDY]

Not sure on any FHA policy but I am sure about one thing-in the past we had un-paid fees and HUD told us essentially that it's our problem so our policy has been COD for FHA and any other orders. So I guess the boss's position that unless and until HUD wants to guarantee our fee we will run our business as we see fit and if that means getting kicked off FHA approved list-then so be it.

 

[RSW]

I'm the person that raised the question in the other thread about the FHA COD. I have never taken a COD on a FHA appraisal. For one thing, I have never had to. Also, I have read the handbook and I take it to mean that the cleint is responsible for making sure the appraiser is paid. It sounds like this topic is a good topic for discussion.

 

[CANative]

Refer to HUD Handbook 4000.2, Chapter 2, Section 2-13 for the actual statement. It says the the lender is "responsible" for collecting the appraisal fee and promptly paying the appraiser. It doesn't say THEY have to pay the appraiser. Just that they're responsible for making sure the appraiser gets paid.

 

[Randolph Kinney]

Refer to HUD Handbook 4000.2, Chapter 2, Section 2-13 for the actual statement. It says the the lender is "responsible" for collecting the appraisal fee and promptly paying the appraiser. It doesn't say THEY have to pay the appraiser. Just that they're responsible for making sure the appraiser gets paid.

And are they responsible if the loan does not go through after the appraisal is done?

 

[Doug Meyer]

Now if the lender "assigns" the responsibility to collect at the door then what? Greg, some of these rules and regs are just ggggrrrrrrr

 

[Michael Tipton]

Now if the lender "assigns" the responsibility to collect at the door then what? Greg, some of these rules and regs are just ggggrrrrrrr

With MBs "originating" FHA loans presently, I will collect FHA funds as COD for any MB appraisal request, particularily out of state "lenders". The FHA policy does not state that an appraiser cannont collect at the time of the appraisal appointment, it states the lender is responsible for payment.


2-13 APPRAISAL AND INSPECTION FEES.

The lender is responsible for collecting fees and promptly paying appraisers and inspectors.
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[RSW]

With MBs "originating" FHA loans presently, I will collect FHA funds as COD for any MB appraisal request, particularily out of state "lenders". The FHA policy does not state that an appraiser cannont collect at the time of the appraisal appointment, it states the lender is responsible for payment.


2-13 APPRAISAL AND INSPECTION FEES.

The lender is responsible for collecting fees and promptly paying appraisers and inspectors.
​

What's the difference?