InfoBytes Blog
FHA announces SFHA mortgagee requirements
On March 9, FHA announced FHA INFO 2022-25, which makes enhancements to FHA Connection (FHAC) and requires mortgagees to indicate if property improvements are in a Special Flood Hazard Area (SFHA) and provide applicable flood insurance data electronically if so. The enhancements implement new fields for the electronic submission of flood related data currently contained in FHA case binders. The electronic data collection will permit FHA to perform more data analytics on FHA-insured properties in flood zones. Mortgagees may submit additional flood-related data electronically for single family forward mortgages and Home Equity Conversion Mortgages on the corresponding Insurance Application Screens in FHAC, which include, among other things: (i) information regarding whether the property improvement is in a SFHA; (ii) indication of the existence of a final Letter of Map Amendment, final Letter of Map Revision, or a FEMA National Flood Insurance Program Elevation Certificate to verify that the property is not in a SFHA; and (iii) other details which may include flood insurance building coverage, flood insurance company, and the flood insurance policy number.