Update to Announcement DR 2021-003 - Texas Severe Winter Storms (DR-4586-TX)

On February 19, 2021, FEMA announced a Major Disaster Declaration pertaining to the Texas Severe Winter Storms with an Incident Period start date of February 11, 2021. No incident end date has been declared at this time.

 

As of today, one hundred and twenty-six (126) counties have been identified and designated for Individual Assistance (IA) from FEMA.

 

On February 26, 2021, 18 counties were added to the total of Texan Counties declared under the FEMA Major Disaster Declaration. The following counties were added today:

 

Atascosa

Bandera

Brooks

Duval

Eastland

Ector

Goliad

Howard

Jim Hogg

Karnes

Kleberg

Leon

Llano

Newton

Robertson

Trinity

Webb

Willacy

 

 

The current list of all 126 counties declared under this FEMA Declaration are here:

Effective immediately, in accordance with agency and investor requirements, NewRez will implement the following prior to closing requirements for loans secured by properties located in the 126 counties identified above.

 

Conventional Conforming and Jumbo Transactions

  • Disaster Inspection with photos evidencing the property is free from damage and the disaster had no effect on the value or marketability.
  • If the Disaster Inspection reveals more than minor cosmetic damage, a new interior appraisal is required, and all damage must be repaired prior to closing and/or purchase by NewRez.

 

FHA Transactions

  • FHA Streamline Refinances do not require Disaster Inspections.
  • The following applies to all FHA loans that have not closed prior to February 25, 2021:
    • Exterior inspection report with photos by original FHA appraiser must be dated after the Incident Period end date or 14 days from the Incident Period start date (i.e., February 25, 2021), whichever is earlier.
    • Exterior inspection reports are not required if effective date of FHA appraisal is after the incident period end date or February 25, 2021.
    • If damage exists, follow requirements outlined in 4000.1 Handbook for PDMDA designations.

 

VA Transactions

  • VA IRRRLs do not require Disaster Inspection or Veteran’s certification.
  • Disaster Inspection with photos evidencing the property is free from damage and the disaster had no effect on the value or marketability.
  • Veteran’s Certification, signed and dated:
    • I have inspected the property located at ____________and find its condition now to be acceptable to me. I understand that I will not be charged for any disaster‐related expenses and now wish to close the loan.

 

USDA Transactions

 

  • Disaster Inspection with photos evidencing the property is free from damage and the disaster had no effect on the value or marketability.
  • If the property inspection reveals damage from disaster, repairs must be completed prior to closing.

A condition requiring a property inspection will be added to identified loans.

These requirements are based on the ongoing status of the disaster Incident Period end date for this FEMA Major Declaration. As with all FEMA Major Disaster Declarations, the impacted areas are not definitively confirmed until FEMA formally designates such areas, which occurs following the completion of the incident and an assessment of the damage. As a result, we will continue to monitor FEMA announcements for impacted areas in order to update any additional impacted counties.

 

Please reference NewRez’s Disaster Policy for full details.