What are the net worth requirements for mortgage lenders and mortgage brokers? Are audited statements required?
Mortgage Lenders: The Division’s regulation 209 CMR 42.03(2)(a) requires mortgage lenders to maintain a net worth of not less than $200,000. The Division’s regulation 209 CMR 42.03(2)(b) requires mortgage lender applicants to submit entity only financial statements, at the time of initial application and on an annual basis, which have been audited in accordance with generally accepted accounting principals (GAAP) by an independent certified public accountant (CPA), prior to approval. Mortgage Brokers: The Division’s regulation 209 CMR 42.06(2)(a) requires mortgage brokers to maintain a net worth of not less than $25,000. The Division’s regulation 209 CMR 42.06(2)(b) requires mortgage broker applicants to submit entity only financial statements, at the time of initial application and on an annual basis, which have been audited or reviewed by an independent certified public accountant (CPA). Audited or reviewed financial statements prepared by an independent Certified Public Accountant (
Related Questions
- What are net worth requirements for a mortgage lender under the saving clause and for a mortgage lender who is seeking a servicing endorsement?
- What are the liquid asset requirements for mortgage lenders and mortgage brokers? Are audited statements required?
- What are the net worth requirements for mortgage lenders and mortgage brokers? Are audited statements required?
