Posted by David Alexander on March 27, 2001 at 24:44:41:
Start a new company… One where you control the policy.
When someone doesnt understand something there first remarks are “it is illegal”
David Alexander
Regarding the illegality of fha wraps… - Posted by Randy Jensen
Posted by Randy Jensen on March 27, 2001 at 24:21:33:
In regard to the interesting exchange we had a few days ago on illegal FHA wraps I submit the following.
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The HUD office in Denver says that they are illegal. This word is confusing though because HUD is a governmental agency with fiat power, and their regs carry the weight of law but I still cant find, nor can they find the particular statute that says illegal. Prohibited is more likely.
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Our corporate council says that the case law is vague, and there is no real precedent either way, and they dont want my company to be a test case, so dont do them.
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My company has made it company policy to do NO fha wraps, in concurrence with a colorado division of real estate morotorium on them. (Bronchik help us here)
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My personal opinion after extensively researching them is that they are ok, but I am precluded from them, because of company policy.
All in all a very interesting exchange.
Randy J
Re: Regarding the illegality of fha wraps… - Posted by SueC
Posted by SueC on March 27, 2001 at 12:40:23:
They could mean “prohibited by the loan agreement”.