IMA Prime Times: March 2019 Iowa Mortgage Association

March 2019


President's Message

Association Updates

Industry News

Spring is in the Air; Selling Season is on the Horizon
Spring is here — thank goodness! Around the country we are seeing pre-approvals increasing and new homes are hitting the market. As the weather continues to warm it is a great time to connect with your Realtor and Business partners. Let’s kick off the 2019 selling season with a big bang.

The new 1003 is quickly coming on the horizon. If you have not taken a peek at it yet, learn more here. Lenders can begin using the form in July 2018 but it is not required to be used until the start of 2020. Now is the time to start reviewing the form and identifying what changes you will need to implement in both your loan application practice and with your software programs. Check out your software providers’ timeline for implementation and begin taking the introductory classes now. This way you will be ahead of the curve on implementing this big change. 

Advocacy is hot on the Iowa Mortgage Association (IMA) agenda this spring. IMA President-Elect, Scott Brekke and I will be attending the Mortgage Bankers Association’s (MBA’s) State and Local Workshop and National Advocacy Conference in early April. At this conference we will represent Iowa in the national conversation about housing regulatory reform. We will meet with our local representatives in both the Senate and the House. On the state level we are also working with the Iowa Bankers Association and Iowa Credit Union League to stay on top of any current issues. If you are interested in working on behalf of the IMA with your local representatives, I encourage you to join the IMA’s Legislative Committee. This team is led by Chuck Simmons and David Horak. The committee meets monthly to review the legislative agenda and set calls to action for our membership.

The Spring Conference is just around the corner so please register today because this is one you will not want to miss. We have a great day planned featuring topics such as expanding technology and working through innovative change. Our popular networking roundtables will also be top notch. Thank you for your support of the IMA. Together we are doing great things to expand homeownership in Iowa!

Laura Kay Sheely
Arch Mortgage Insurance

Register Now for the IMA Spring Conference
Don’t miss the Iowa Mortgage Association’s (IMA’s) 2019 Spring Conference on April 3 at the Quad Cities Waterfront Convention Center & Isle Hotel in Bettendorf. The conference includes sessions on productivity and social media tools, an economic update, housing trends, and ways to network and engage to grow business. Learn more and register.

IMA Bootcamp is May 16-17 in Des Moines
This annual two-day seminar is a great opportunity to increase your skills as a mortgage loan officer. Designed for those who work in the mortgage industry, the seminar will walk you through the mortgage loan cycle and everything you need to be a stronger mortgage loan officer. This intense session will give you advanced knowledge of each step of the mortgage process and provide you with opportunities to learn from seasoned experts. Learn more and register.

2019 Rural and Underserved Counties
The Consumer Financial Protection Bureau (CFPB) has published the 2019 list of rural and underserved counties and a separate 2019 list that includes only rural counties. The CFPB has also updated the rural and underserved areas website tool for 2019. The lists and the tool help creditors determine whether a property is located in a rural or underserved area for purposes of applying certain regulatory provisions related to mortgage loans. A creditor that makes a first-lien mortgage loan secured by a property located in a rural or underserved area during 2019 meets the requirements to be a creditor that operates in rural or underserved areas during 2020 and for loan applications received before April 1, 2021.  

The 2019 lists can be found here. The rural and underserved areas tool can be found here. The list of rural and underserved counties in Iowa remained unchanged from 2018 to 2019.

New Standards for Remote Online Notarizations Proposed
MISMO, the mortgage industry's standards organization, announced that new standards for remote online notarizations (RON) have been released for a 60-day public comment period (Feb. 19 to April 22, 2019). Over the past few years, a number of states have enacted laws allowing the use of audio-visual communication devices to notarize documents in real estate transactions.  

The new standards include credential analysis, borrower identification, capturing and maintaining a recording of the notary process electronically, audio and video requirements, record storage and audit trails. MISMO is communicating with secretaries of state across the U.S. to encourage the adoption of the standards in their respective regulations. Uniformity of regulations benefits all parties that might utilize RON services, from lenders to notaries to consumers.

In addition to creating standards, the MISMO Remote Online Notary Workgroup is developing best practices, implementation guides and other educational materials to help industry participants leverage the standards in their businesses. Download the new proposed standard.

IFA Announces Top Lenders for 2018
The Iowa Finance Authority (IFA), which offers mortgage and down payment assistance programs through a network of more than 400 lenders throughout the state recently recognized its top mortgage lenders for outstanding efforts in assisting homebuyers through their programs in 2018. They include: 

Top Lender
Iowa Bankers Mortgage Corporation — 221 homebuyers assisted

Gold Lenders
Wells Fargo Bank, N.A. — 157 homebuyers assisted
Community 1st Credit Union — 127 homebuyers assisted 
Wintrust Mortgage — 93 homebuyers assisted 
HomeServices Lending, LLC — 93 
homebuyers assisted 

Silver Lenders
US Bank, N.A. — 78 homebuyers assisted
Fairway Independent Mortgage — 77 homebuyers assisted
PERL Mortgage, Inc. — 77 homebuyers assisted
Bank Iowa, Statewide — 71 homebuyers assisted
Great Southern Bank — 57 homebuyers assisted
American National Bank — 56 homebuyers assisted
American Bank & Trust — 55 homebuyers assisted
Great Western Bank — 53 homebuyers assisted
CMG Mortgage Inc. — 47 homebuyers assisted
Lincoln Savings Bank — 46 homebuyers assisted
Academy Mortgage Corp. — 45 homebuyers assisted
First National Bank — 45 homebuyers assisted

Job Opening: Iowa Title Guaranty Seeking Director
Iowa Title Guaranty has an opening for a director and is accepting applications through March 22. The director will oversee all aspects of the Iowa Title Guaranty division, including day-to-day operations, developing internal procedures and policies, representing Iowa Title Guaranty at external events, and managing staffing. Read the full job posting.

USDA Rural Development Returns to Normal Processing Times
USDA Rural Development is again processing guaranteed home loan applications within 48 hours of receiving a complete application. The USDA staff worked through a significant backlog of applications due to the recent lapse in government funding. Sign up to receive important notices about USDA Rural Development’s Single Family Housing Guaranteed Loan Program. Once registered select “SFH Guaranteed Origination/Servicing.”

Updated Online Trainings for USDA Rural Development Housing Program Now Available
The following training webcasts on USDA LINC’s Training and Resource Library have been updated:
  • Annual Income
  • Assets
  • Adjusted Annual Income
  • Repayment Income 

A frequently asked questions (FAQs) document has also been added to the “HB-1-3555 Chapter 9 Revision Overview” training section. See sample questions below.

Sample Questions
Is a 24-month employment history still required?
Answer: Most income types require a minimum of only 12 months on the job to be considered for repayment purposes. However, USDA encourages lenders to review the previous two-year employment history for each applicant. Some income types, such as retirement, Social Security benefits, etc., are eligible when received for alternate timeframes.

Question: An applicant graduated from college last month and has an employment contract with a school district. The employment will begin within 60 days of loan closing and the applicant has sufficient reserves to cover all expenses (including the mortgage) until receipt of their first paycheck. 
Since the applicant was a student with no previous employment history, can this future income be used in repayment income calculations?
Answer: Previous enrollment in college/university is no longer considered to be acceptable in lieu of employment history.  Applicants who have less than one year of employment history are not considered to have stable or dependable income.  Applicants must have a minimum of one year of continuous stable and dependable income to qualify for program assistance. 

For more information about USDA Rural Development’s guaranteed home loan program, call 515-284-4667, email or visit
Iowa Land Records Kicks Off 2019 Spring Seminar Series
Iowa Land Records announced the dates of the 2019 Spring Seminar Series, a 10-stop E-Submission training tour around Iowa. Free of charge, the 2019 Spring Seminar Series covers basic electronic filing skills and will explain how to submit electronic documents to Iowa County Recorders. This year’s series will also feature information about the next generation version of the user interface and a discussion of best practices for submitting documents and avoiding document rejections. Learn more.

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