Week of 15 Dec 2008
Price adjustments
No pricing updates.
Product Updates
USDA program
Release date for the USDA program is scheduled for January 5, 2009.
VA Super Jumbo
VA Super Jumbo to be released by the end of the week.
FHASecure
FHASecure will no longer be available after Dec 31, 2008. All FHASecure loans must close by Dec 24th and fund by Dec 31st.
Agency Jumbo & High Balance FHA
We are no longer accepting submissions of Agency Jumbo and FHA High Balance loans. Loans that are already in the underwriting queue must fund by Dec 31, 2008.
Underwriting Policy
FHA Traditional Underwrites:
Maximum FHA house ratio is 31% on a FHA Traditional Underwrite. Exceptions may be granted on a case by case basis.
FHA Spot Condo Approval request:
- Spot Loan Checklist needs to be filled out by the HOA (Homeowners Association).
- The Title Company is to verify the number of units that are encumbered by FHA mortgages in the project.
Departure Residence & Multiple Properties Update:
- If the borrower is upside down in their current property they MAY NOT purchase a new primary residence.
- If borrower has moved out of their departure residence and they want to use rental income to qualify, then the property must be reported on their most recent tax return as a rental property and the property must have been rented out for at least 6 months.
Gift Funds
DMC to validate relationship between the borrower and the donor by a third party service. If unable to validate by this service, then legal documents will be required to validate the relationship.
Float Downs Reminder
Rate float downs need to be requested prior to final underwriting approval. Underwriting happens quickly, so be sure to act expeditiously.