What are the staffing requirements and restrictions on employees of FHA lenders?
The following requirements only apply to those employees of a lender that are involved in the origination, underwriting or servicing of FHA loans. An approved mortgagee must employ trained personnel that are competent to perform their assigned responsibilities. Employees are those individuals who are under the direct supervision and control of an FHA approved mortgagee and where the individuals are exclusively employed by the FHA approved mortgagee in the mortgage lending and real estate fields. The mortgagee must demonstrate the essential characteristics of the employer-employee relationship upon inquiry by the Department. A mortgagee must exercise control and responsible management supervision over its home office and branch employees. Control and supervision must include, at a minimum, regular and ongoing reviews of employee performance and of work performed. Compensation of employees may be on a salary, salary plus commission, or commission only basis and includes bonuses. All comp
