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FHA · Mortgagee Letter ML 2024-19 · Published

Electronic Submission of Section 247 Hawaiian Home Lands Assignment Packages

FHA updates Section 247 Hawaiian Home Lands assignment package submission requirements. Mortgagees must submit title evidence packages and servicing records to HUD for approval prior to filing insurance claims.

Action requiredEffective Jan 31, 2025 · may adopt nowChecks passed· adjusted automaticallyRead the letter ↗ (opens in a new tab)

Loan impact

From the letter text · needs review

Applies to: FHA-insured mortgages under the Section 247 Hawaiian Home Lands program submitted for assignment to HUD.

Applies when all of these are true
  • ANDFHA loan
  • ANDCredit program is Section 247 Hawaiian Home Lands, or earlier if the seller adopts now
Addressed to
All FHA-Approved Mortgagees
Investor
FHAFrom the publisher, not quoted from the text
Programs
FHAFrom the publisher, not quoted from the text
Affected area
Loss mitigationGuide Section III.A.3.c.iii
Affected documents
Form HUD-27011
Effective
Jan 31, 2025Sellers may implement immediately
Applicability confidence
Needs review: some rows could not be matched to a quote from the source
Supporting quotes from the letter
  • conditions“The provisions of this ML apply to Mortgages under the Section 247 Hawaiian Home Lands program.”
  • affected areas“Updating the Section 247 assignment process from traditional paper submissions to an electronic format will achieve efficiency and sustainability in the Section 247 program.”
  • guide sections“This ML: • updates the Submission of Title Evidence Package and Servicing Records for Assignment (III.A.3.c.iii); • updates Reconveyance to Mortgagee (III.A.3.c.iv); • updates Submission of Claim Form Parts to HUD for Hawaiian Home Lands Mortgages (IV.A.2.b.i(C)); and • removes Submission of Claim Form Parts as Part of Request for Title Approval for Hawaiian Home Lands Mortgages (IV.A.2.b.i(D)).”
  • affected documents“The Mortgagee must submit form HUD-27011 to HUD via EDI or FHA Catalyst.”

What changed

From the letter text · Sections III.A.3.c.iii, IV.A.2.b.i(C), III.A.3.c.iv, IV.A.2.b.i(D)
RequirementPreviouslyNow
Submission of Title Evidence Package and Servicing Records for AssignmentChangedRequiredSection III.A.3.c.iiiNot statedPrior to filing claims for insurance benefits, the Mortgagee must submit the title evidence package and servicing records to HUD for approval.
Submission of Claim Form Parts to HUDChangedRequiredSection IV.A.2.b.i(C)Not statedThe Mortgagee must submit form HUD-27011 to HUD via EDI or FHA Catalyst, submitting Parts A and B simultaneously for EDI, and Parts A, B, C, D, and E for FHA Catalyst.
Reconveyance to Mortgagee when claim has not yet been paidChangedSection III.A.3.c.ivNot statedIf the claim has not yet been paid and HUD does not accept assignment of the Mortgage and Note, HUD will return the submitted original documents to the Mortgagee.
Submission of Claim Form Parts as Part of Request for Title ApprovalRemovedSection IV.A.2.b.i(D)Not statedRemoves Submission of Claim Form Parts as Part of Request for Title Approval for Hawaiian Home Lands Mortgages (IV.A.2.b.i(D)).

Each change applies when all the loan-impact conditions above are true.

What to do

AWACS interpretation · not source language

What to review: Review the mandatory processes for electronic submission of form HUD-27011 and prior HUD approval of title evidence packages and servicing records for Section 247 Hawaiian Home Lands assignments effective no later than January 31, 2025.

Servicing

No later than January 31, 2025, submit title evidence packages and servicing records to HUD for approval prior to filing Section 247 Hawaiian Home Lands insurance benefit claims, and transmit form HUD-27011 electronically via EDI or FHA Catalyst.

QC implications

  • Sample Section 247 Hawaiian Home Lands claim files to verify that title evidence packages and servicing records received HUD approval prior to insurance claim submission.
  • Confirm that form HUD-27011 submissions were transmitted through EDI or FHA Catalyst with the appropriate form parts and retained in the Claim Review File.

Source and record

Version 1 · archived

Checks

  • Source verified: Passed

    The document ID, link and publication date match the official source.

  • Quotes match the source: Passed, adjusted automatically

    Every quoted passage appears word for word in the official document.

    • A detail the source does not support was removed or adjusted

  • Requirements backed by the source: Passed, adjusted automatically

    Anything marked required is backed by the requirement language and dates in the source.

    • A detail the source does not support was removed or adjusted

  • In scope: Passed

    The document is about residential mortgage lending.

  • Format and labels: Passed

    The record follows the AWACS format and uses its standard labels.