Announcement: Top Trends in Quality Control and Condition Trends

PHH Mortgage conducts Post Purchase Quality Control reviews in accordance with GSE guidelines. To limit the number of defects identified during our reviews and reduce the time and effort involved with curing the defects, we are sharing our top QC findings.

Below are the top defects for Quality Control reviews on loans funded from September to November:

  • Missing Taxes/Insurance/HOA for retained properties
  • Self-employed business existence not verified per COVID-19 requirements
    • Requires evidence business is open and operating)
      • Evidence of current work within 20 days of the note date (invoices)
      • Evidence of current business receipts within 20 days of the note date
      • Business website is available (timely appointments for estimates or services can be scheduled)
    • Requires signed Profit & Loss with 3 months bank statements or audited Profit & Loss
  • VVOE expired or inaccurate/missing
  • Missing evidence all mortgages paid current per COVID-19 requirements
  • Debts not included in ratios:
    • Debts listed on credit report but not included in the ratios/missing documentation to support omitted debt
    • Debts taken out prior to or the same day as the mortgage per seller or QC credit report
In addition, below are our top trends in purchase reviews which cause delays in the funding of loans.
  • Final Closing Disclosure Incomplete – missing or inaccurate dates, payees, tolerance cures, etc.
  • Missing tax information – proof of payment for taxes due within 45 days, tax certs
  • UCD – Missing (both Fannie Mae and Freddie Mac UCD are required)
  • Home Loan Toolkit – evidence document was presented to the borrower within 3 days of application
  • Missing or incomplete 4506C
  • Missing or incomplete VVOE

Addressing these items upfront will avoid potential delays in fundings and rework. As a reminder, check the appropriate agency selling guide for documentation requirements.

If you have any questions, please contact your Regional Sales Executive, or contact us via the support line 1-800-929-4744, Email inquiries can be sent to or

Thank you for your continued business.