The Federal Housing Administration (FHA) announced Thursday that, effective immediately, it will accept electronic signatures on third-party documents included in the case binder for mortgage insurance endorsement. The policy applies to both forward mortgages and Home Equity Conversion Mortgages.
Third-party documents are those that are originated and signed outside of the lender's control, such as a sales contract.
An indication of the e-signature and date should be clearly visible when viewed electronically and in a paper copy of the electronically signed document, FHA instructs in its mortgagee letter.
SOURCE: Federal Housing Administration