FEMA determination borrowers may use when a property appears incorrectly included in a mapped flood-risk area.
A Letter of Map Amendment (LOMA) is a FEMA determination borrowers may use when a property appears incorrectly included in a mapped flood-risk area.
A LOMA matters because a flood-insurance requirement can materially affect whether a borrower can close comfortably and what the monthly housing cost looks like after closing.
It also matters because borrowers sometimes believe a flood requirement is simply a lender preference. In many files, the lender is relying on flood-map and determination rules, so removing or changing the requirement usually requires a documented map-related result rather than an informal explanation.
Borrowers may hear about a LOMA after a Flood Determination shows the property in a Special Flood Hazard Area (SFHA) and the borrower believes the building should not be treated that way.
The term can also appear during refinance or servicing if updated map information creates a new flood insurance requirement on an existing loan.
| Term | What it does in borrower language |
|---|---|
| LOMA | Documents FEMA’s determination about a property’s mapped flood status |
| Flood Determination | Identifies whether the lender sees a flood-insurance requirement |
| Flood Insurance Rate Map (FIRM) | Map framework the flood-status issue is tied to |
| Flood Insurance | Coverage the borrower may still need unless the requirement is removed or changed |
A borrower is told that flood insurance is required because the home is mapped inside an SFHA. The borrower obtains a FEMA map-amendment determination showing the structure should not be treated as inside that mapped area. The borrower gives the documentation to the lender for review.
LOMA differs from Flood Insurance because a LOMA is a map-status determination, while flood insurance is coverage.
It differs from Insurance Binder because the binder proves coverage has been arranged. A LOMA may support a request to remove or change the coverage requirement.
It also differs from Flood Determination. The flood determination is the lender-side review result; a LOMA is FEMA documentation that may change how the property is treated.