Borrower was turned down by another lender for a HECM while the borrower was in the process of obtaining new employment. Does the denial show up in the system (CAIVRS, etc.), and prevent the borrower from being approved if it is resubmitted? How long is a Case number in effect before it expires?
A denial does not show up on CAIVRS. On a forward loan a denial will be input into FHA Connection, but not on a reverse. There is no issue with applying with another lender after a denial elsewhere. The FHA case number is valid for six months from last activity and must be transferred to the new lender.