HUD M&M III MCM Announcement
March 19th, 2010
The U.S. Department of Housing and Urban Development (HUD) has issued a press release titled,
FHA Hires Compliance Manager To Oversee Inventory Of 'HUD Homes'.
FHA HIRES COMPLIANCE MANAGER TO OVERSEE INVENTORY OF 'HUD HOMES'
Contract designed to reduce risk and increasing return on resale of property
WASHINGTON - The U.S. Department of Housing and Urban Development (HUD) today announced the agency is contracting with Michaelson, Connor & Boul, Inc. (MCB) of Huntington Beach, California to serve as a Mortgagee Compliance Manager. MCB will be responsible for ensuring that Federal Housing Administration (FHA)-approved lenders and loan servicers convey foreclosed properties to the FHA in acceptable condition.
MCB will establish a central office for lender compliance oversight in Oklahoma City, which is projected to create 75 - 100 new professional jobs. HUD's
National Servicing Center (NSC) in Oklahoma City will be responsible for the direct oversight of the new compliance manager contract.
"This new contract is part of FHA's continuing effort to reduce risk, increase return, and improve efficiency in the resale of its inventory of foreclosed property," said HUD Deputy Assistant Secretary Vicki Bott. "It is critically important that FHA recaptures as much of our claims through the eventual sale of these properties and this compliance management firm will help us do that."
The contract is awarded under FHA's Management and Marketing (M&M) III disposition structure. Under M&M III, the process of conveying foreclosed properties to FHA has been centralized and streamlined in order to simplify the process for FHA's lenders and servicers, as well as to improve communication and the dissemination of program guidance and requirements.
As the largest seller of real estate in the country, HUD has been outsourcing the disposition of its foreclosed FHA inventory under the M&M contracting process since 1999. After conducting extensive research into market-based best practices, HUD has developed its new M&M III disposition structure to streamline its operations, capitalize on the expertise of potential vendors and provide flexibility in a changing environment.
Under M&M III, lenders and loan servicers seeking to convey foreclosed properties to FHA will find a more efficient and less complex process than under previous M&M contracts. Michaelson, Connor & Boul, Inc will serve as the sole entity responsible for mortgagee compliance.
Any questions or clarification regarding this contract award should be directed to the HUD National Servicing Center at (888) 297-8685.
HUD is the nation's housing agency committed to sustaining homeownership; creating affordable housing opportunities for low-income Americans; and supporting the homeless, elderly, people with disabilities and people living with AIDS. The Department also promotes economic and community development ad enforces the nation's fair housing laws. More information about HUD and its programs is available on the Internet at www.hud.gov and espanol.hud.gov.
To view the online Press Release, please click here
About Safeguard
Safeguard Properties is the largest privately held field services company in the country. Located in Cleveland, Ohio and founded in 1990 by Robert Klein, Safeguard has grown from a regional preservation company with a few employees and a handful of contractors performing services in the Midwest, to a national company with over 700 employees. Safeguard is supported by a nationwide network of subcontractors able to perform any requested superintendence, preservation, and maintenance functions, as well as numerous ancillary services in the U.S., the Virgin Islands, and Puerto Rico.