A properly structured third party origination agreement can be RESPA compliant?

The lender is looking at entering into a TPO Agreement with a local mortgage loan originator (broker).

Counsel is structuring a proposed draft of a TPO agreement. Does anyone have any
experience in working with TPO brokers? Any suggestions greatly appreciated.

Can you articulate your specific concerns? Lenders interact with third party brokers all the time and stay in compliance with RESPA. The fact that you already have counsel involved represents at least one check in the win column.

Counsel is concerned that the recent FAQs from the bureau on MSA and referrals could hinder the payment for services
rendered by the mortgage origination broker that must be performed to earn the 1% fee paid by the lender.

That seems to be the main sticking point.

Well, if you are dealing with individual brokers, then MSA agreements are not much of a concern. You just have to make sure they are performing enough of the services to actually earn their cut. As far as that goes, the Statement of Policy 1999-1 is still the gold standard as far as I have seen. https://archives.hud.gov/news/1999/rspntce.html

Got it, thank you, rl.