Or. Admin. Code § 813-020-0020

Current through Register Vol. 63, No. 12, December 1, 2024

Section 813-020-0020 - [Effective 5/2/2025] Approved Lenders

(1) A bank, savings bank or other financial institution that is authorized under the laws of a state or of the United States to engage in the business of making secured loans for residential housing may apply to become a lender under the Single Family Mortgage Program. An applicant shall submit to the Department:

(a) An application in the form prescribed by the Department;

(b) An opinion by the counsel of the applicant regarding the power and authority of the applicant to enter into a loan purchase agreement with the Department;

(c) A list of the authorized officers of the applicant and the signature of each officer;

(d) The most recent audited financial statements of the applicant;

(e) Documentation evidencing the applicant's bond and insurance coverage; and

(f) An application charge in an amount established by the Department for its costs of evaluation and administration.

(2) An applicant may qualify as a lender under the program if the Department determines that the applicant:

(a) Makes loans for single family residences in the regular, usual and normal course of its business;

(b) Has the capability and resources to originate loans under the program in a sound and professional manner; and

(c) Has or will have a valid and binding contract with a loan servicer approved by the Department under OAR 813-020-0050.

(3) A determination by the Department under section (2) of this rule is subject to the Department's consideration of factors that include but are not limited to the following:

(a) The number and experience of employees available to originate program loans;

(b) The applicant's financial capability to originate program loans;

(c) The applicant's qualification as a seller or servicer for the Federal National Mortgage Association, the Federal Home Loan Mortgage Corporation or the Federal Housing Administration, or as a "Special Lender" under the federal Servicemen's Readjustment Act;

(d) Whether the applicant's deposits are insured by the Federal Deposit Insurance Corporation; and

(e) The applicant's reputation, experience and performance in the area of residential lending and any other area of the applicant' business.

(4) Before a lender that is qualified by the Department under section (2) of this rule may make a program loan, the lender shall enter into an agreement with the Department providing for the manner and terms of sale of program loans, according to a standard form prescribed by the Department.

Or. Admin. Code § 813-020-0020

1HD 14, f. & ef. 10-3-77; 1HD 3-1979, f. & ef. 6-29-79; 1HD 9-1984, f. & ef. 9-4-84; HSG 3-1989(Temp), f. & cert. ef. 6-8-89; HSG 10-1989, f. & cert. ef. 11-3-89; HSG 2-1991(Temp), f. & cert. ef. 8-7-91; HSG 8-1991, f. & cert. ef. 12-23-91; HSG 4-1995, f. & cert. ef. 9-28-95; OHCS 8-2011(Temp), f. & cert. ef. 9-30-11 thru 3-27-12; OHCS 1-2012, f. & cert. ef. 3-27-12; OHCS 46-2024, temporary amend filed 11/04/2024, effective 11/4/2024 through 5/2/2025

Stat. Auth.: ORS 456.555

Stats. Implemented: ORS 456.625