A Principal/Authorized Agent Relationship is one in which a Mortgagee with Unconditional Direct Endorsement (DE) authority permits another Unconditional DE-approved Mortgagee to underwrite Mortgages on its behalf.
The relationship must be documented in the Lender Electronic Assessment Portal (LEAP) by the authorized agent and the principal’s FHA Lender ID must be entered in the “Originator” field on the FHA case file and in FHA Connection (FHAC).
For more information refer to the LEAP User Manual that can be accessed using the LEAP Information link in the Approvals & Renewals section at: https://www.hud.gov/program_offices/housing/sfh/lender/
Handbook 4000.1 I.A.5.a.iv. is available at: https://www.hud.gov/program_offices/administration/hudclips/handbooks/hsgh