Md. Code Regs. 05.06.08.06

Current through Register Vol. 51, No. 22, November 1, 2024

Section 05.06.08.06 - Eligible Lenders

A. The Department, or any agency of the Department, is an eligible lender approved for mortgage insurance issued by the Fund.

B. All other lenders shall meet the eligibility requirements of §C or D of this regulation in order to be approved for mortgage insurance issued by the Fund.

C. The Fund may approve a mortgage lender that is authorized to conduct business in Maryland and that executes a certification that it is:

(1) A financial institution that has accounts insured by any agency of the United States;

(2) An institutional lender approved under a federal mortgage loan insurance agency; or

(3) Any FNMA or FHLMC approved institutional conventional seller.

D. Any for-profit entity, nonprofit entity, or public agency that, in the opinion of the Fund, has as a primary or substantial function of its operation the making of residential mortgages, may be approved if it:

(1) Presents evidence satisfactory to the Fund of:

(a) Responsibility;

(b) Permanency;

(c) Financial adequacy; and

(d) Requisite administrative, technical, and mortgage servicing capabilities; and

(2) Submits an application and all supporting documentation that the Fund may require.

Md. Code Regs. 05.06.08.06