- an Affiliate or subsidiary of the Mortgagee;
- any Entity over which the Mortgagee has significant influence; or
- any Entity with which the Mortgagee has a conflict of interest in fact or appearance.
The Mortgagee may only use an independent third-party provider that agrees, in writing, to share sales and auction reporting information with the Mortgagee and HUD.
For successful third-party sales, HUD will reimburse expenses relating to the Mortgagee’s use of an independent third-party provider to market or conduct the foreclosure sale or Post-Foreclosure Sales Efforts, provided the Property was marketed for a minimum of 15 Days before each scheduled sale. HUD will reimburse such independent third-party provider expenses incurred for successful third-party sales up to an amount that does not exceed:
- 3 percent of the Property’s sales price where the independent third-party provider markets the Property, but does not conduct the sale; or
- 5 percent of the Property’s sales price where the independent third-party provider markets the Property and conducts the sale.
Any questions may be directed to the FHA Resource Center by email at: email@example.com, or by toll-free telephone number (800) CALLFHA (225-5342). Persons with hearing or speech impairments may reach this number by calling the Federal Relay Service at (800) 877-8339.
HUD’s Independent third-party providers standard is located in Handbook 4000.1, Section III.A.2.p.iv(A)-(B) available at: https://www.hud.gov/program_offices/administration/hudclips/handbooks/hsgh
Mortgagee Letter 2020-21 is available at: https://www.hud.gov/program_offices/administration/hudclips/letters/mortgagee