MortgageFlex
Completes Major FHA Interface
LoanQuest – FHA
Connection Interface Means
Greater ROI and
Accuracy
Jacksonville, Fla. (June 16,2009) - MortgageFlex Systems
Inc., a leading provider of lending and servicing system solutions, has
completed Phase One of its loan origination system interface to FHA Connection,
the website for government-insured loan originations and servicing.
This interface with its LoanQuest LOS, gives MortgageFlex
customers who are 
FHA approved lenders real-time
access for originating and servicing government insured loans. Use of the
website is required by HUD for interactions with the housing agency that can be
accomplished via the Internet. Even so,
the connection is seldom embedded in an LOS.
In this first of three development phases, the LoanQuest -
FHA Connection interface automates a lender’s initial contact with the
government housing agency, eliminating time-consuming phone calls and Postal
delays.
“LoanQuest fully supports all FHA functions,” says Craig
Bechtle, chief operating officer, MortgageFlex Systems, “so when that became
the ‘product du jour’, it wasn’t a stretch for us. Every one of our features,”
he adds, “helps lenders avoid manual transactions.”
“The biggest hurdle,” Bechtle notes, “is getting customers
fully and properly trained” to work with the government agency. MortgageFlex
has addressed that issue by offering customers free courses on how to use
LoanQuest for FHA lending.
FHA, part of the U.S. Department of Housing and Urban
Development (HUD), now insures a record one-third of all mortgage originations.
In the past five months alone, roughly one out of every four homebuyers in
Fueling this growth, the ceiling on FHA-insured loans has
gone up this year to $729,750 in 76 high-cost counties, under the American
Recovery and Reinvestment Act signed into law by President Obama in February.
MortgageFlex has offered technology to connect with FHA since 1998, when the
FHA first placed requirements on lenders to use the electronic system for
processing.
A daunting
undertaking
Many lenders who consider building their own, individual
interfaces to the FHA find that it is a daunting undertaking in size and
complexity. An outsourced interface allows for greater accuracy and fewer
mistakes, especially when it is coupled with the loan origination software.
“There are 37 different transactions you can perform at the
FHA website,” says Bechtle, “and few people understand the complexity involved
in navigating it – not to mention the expense of creating an individual
interface.” He estimates an average savings of 20% on each loan application
processed via the interface, when fully developed.
The FHA Connection initially was developed by MortgageFlex
at the request of a “Top 10” lender-customer as a custom interface, however,
the component will work off-the-shelf for any LoanQuest user.
The next phases of the company’s FHA Connection will
feature more transaction capabilities, enabling lenders to access services from
third parties such as appraisers, insurance providers and underwriters.
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About MortgageFlex Systems Inc.
MortgageFlex
Systems, Inc., a provider of innovative software and systems solutions to
mortgage companies and lending institutions. Headquartered in
For media
inquires, please contact Joyce Saunders, Director of Corporate Communications,
904-356-2490.