FDPA Section 102(b)(1) states, "Each Federal entity for lending regulation...shall...direct...lending institutions not to" MIRE "any loan secured by improved real estate...located...in...an area having special flood hazards..."

My question: If a determination is performed AFTER closing, but the property is deemed NOT in an SFHA, is there a violation? By virtue of the wording, doesn't the lack of an SFHA make the possibility academic?

You are right that it would be academic, but it is still a technical violation. IF the SFHDF showed the property to be in a SFHA, then the Flood Notice must be delivered a reasonable period of time BEFORE the loan is closed. Therefore, you can back out the logic that the SFHDF must be completed BEFORE closing as well.

And it would be added to the list of violations and any writeup re whether you have a good practice. If it happened once, ok. If it happened a few times, they will comment on your weak process.