FHA No Longer Doing Business with AmericaHomeKey
According to a press released issued by the Department of Housing and Urban Development, a company called AmericaHomeKey is now permanently barred from doing business with the FHA, due to “serious and repeated violations of FHA standards.
The Department of Housing and Urban Development’s Mortgage Review Board (MRB) announced their decision to forbid AmericaHomeKey to “originate and underwrite new mortgages insured by the Federal Housing Administration (FHA). In addition, the MRB is imposing $268,000 in penalties against the Dallas-based mortgage lender for repeated and serious violations of FHA requirements.”
AmericaHomeKey was reportedly found guilty of more than 12 violations of FHA standards, mostly relating to documentation issues. Failing to “document the source and/or adequacy of borrowers’ funds used for closing,” was one of the violations mentioned.
These unprofessional business practices are unfortunate; however, there is some good news. There is recourse when illegal activity occurs in relation to FHA loans, and therefore any consumers who feel they have been a victim of irresponsible practices can contact the FHA directly at 1-800-CALL-FHA