FHA LEAN Processing
RED now offers owners and operators of skilled and assisted living health care facilities faster, more predictable financing options through FHA’s new LEAN process...designed for speed, consistency and reliability.
Top Four Enhancements Provided By The New FHA LEAN Program
1. Predictability of FHA-insured underwriting outcomes has been improved.
The FHA 232/223(f) program is being administered by LEAN underwriters specifically focused on and experienced with healthcare facilities. These underwriters will report to the Office of Insured Healthcare Facilities in Washington, D.C. which will administer the program centrally. The LEAN underwriting guidelines have been substantially refined and the change in organizational structure should ensure consistency and predictability.
2. Application requirements have been specifically defined and organized.
The content of the application for mortgage insurance has been precisely defined and, in the near future, will be submitted electronically. Additionally, separate market studies are no longer required for refinance/acquisition applications, one mortgagor executed certification now replaces a multitude of certifications and templates have been provided for required narrative summaries. These enhancements are more demanding of the lender and reinforce the importance of the lender’s program knowledge and experience.
3. Underwriting has been simplified and updated
FHA has eliminated the requirement for FHA-specific appraisals (with FHA specific review formats and proprietary/non-proprietary considerations). Under the new LEAN processing requirements, FHA will accept fair market value appraisals prepared by licensed, experienced appraisers. Additionally, the replacement analysis requirements in the project capital needs assessments have been reduced and simplified. These modifications should produce substantial cost savings for borrowers.
4. Improved closing process and more predicable closing dates
FHA attorneys will review borrower’s organizational documents, title and survey earlier in the review process, which will significantly expedite closing. Potential closing dates will be identified upon receipt of the FHA firm commitment for mortgage insurance. Coordination with designated FHA attorneys will result in earlier feedback and better coordination of actual closing events.
General Inquiries
Scott L. Moore, Managing Director, FHA Insured Loans
Ph.
800.837.5100 toll free
Ph.
614.857.3144
Fx.
614.857.9699
E.
Edward H.R. Tellings, Managing Director, FHA Chief Underwriter
Ph.
800.837.5100 toll free
Ph.
614.857.1677
Fx.
614.857.1590
E.
ehtellings@redcapitalgroup.com
Midwest Region
Kevin M. Korn, Director, FHA Insured Loans
Ph.
800.837.5100 toll free
Ph.
614.857.1484
Fx.
614.857.1590
E.
Joel B. Mendes, Vice President, FHA Insured Loans
Ph.
800.837.5100 toll free
Ph.
614.857.3186
Fx.
614.857.9018
E.
Scott L. Moore, Managing Director, FHA Insured Loans
Ph.
800.837.5100 toll free
Ph.
614.857.3144
Fx.
614.857.9699
E.
Edward H.R. Tellings, Managing Director, FHA Chief Underwriter
Ph.
800.837.5100 toll free
Ph.
614.857.1677
Fx.
614.857.1590
E.
ehtellings@redcapitalgroup.com
South Region:
Jason D. Smeck, Director, FHA Insured Loans
Ph.
800.837.5100 toll free
Ph.
614.857.1665
Fx.
614.857.9791
E.
West Region:
Richard R. Andrews, Managing Director, FHA Insured Loans
Ph.
619.471.0115
Fx.
619.471.0125
E.
FHA LEAN
