Scenarios and Guide Stuff Flashcards
(57 cards)
What is the Max LTV on Portfolio O/O, purch or RT Refi?
80% up to 2 mill. above 80% requires mi approval. Will need reserves above conforming.
What is the Max LTV on conforming LA, Portfolio 2nd home and Investor?
2nd home 80% , inv 75% . To conforming.
What signifies a non Warrantable condo?
When a condo is identified as a non-warrantable that means it does not meet conventional guidelines (meaning Fannie Mae and Freddie Mac won’t buy the loan). This is kind of a big deal because Fannie Mae and Freddie Mac pretty much buy all conventional loans.
What are some reasons that a condo is non warrantable?
Single entity owning over 10% of units, inadequate insurance coverage, Condotel characteristics, project in litigation that is safety , structural or habitability issues.
New Construction condos
Unfinished phases
high percentage non owner occ,
Scenario: Investment, warrantable Condo, 1.3 million. What program and ltv max?
Max 70% ltv on inv Port Jumbo over conforming. if conforming can go 75%
Does fico above 740 affect pricing for conventional? Portfolio? Port jumbo? Port Arms?
Conventional no. 740 is the mark. Portfolio same but Portfolio Jumbo and Arms it does matter and you get better pricing as you get to 760 and 780.
What is the max ltv on non warrantable inv condos for portfolio at conforming LA? Jumbo to 1.5 mill? Jumbo to 1.75 mill?
Conforming can go to 75%, non conforming 70% to 1.5 mill and 60% to 1.75 mill. Anything over that is exception basis. Watch the dti as max 40% and fico on
Scenario: Condotel, Inv, 1 mill LA. What is max ltv? Dti? Fico?
75% with 45% dti. min fico, follow DU.
Scenario: Condotel , inv 1.49 mill LA. Max ltv? dti? Min fico?
70%, 40% dti and min fico of 720.
Scenario: Canadian, Non warrantable , 1 mill LA. Max LTV? Dti? Fico?
65% LTV , 45% dti and 720 min fico. **if SE, max ltv 50%!!!
How low of Fico will Rocket mortgage go on VA/FHA? HOw about Conventional?
VA/FHA as low as 580 and 620 conventional
Rocket mtg- Locks need to be good through funding? Signing? or recording?
Signing
Rocket mtg- CTC timelines can be done in how many days? Also what are the turntimes for conditions etc?
15-17 CTC possible, turn times are 1 biz day.
True or False: Rocket has some of the lowest pmi in the industry?
True, they crush.
How many kitchens/ stoves can you have in a SFR?
Only 1 stove/kitchen so would need extra stove to be removed. Can have fridge, wetbar etc but not 2 stoves. it is okay if you have a cottage/adu. but ADU must be accessible entrance seperated from main dwelling.
The kitchen must, at a minimum, contain the following:
cabinets;
a countertop;
a sink with running water; and
a stove or stove hookup (hotplates, microwaves, or toaster ovens are not acceptable stove substitutes).
Examples of ADUs include, (but are not limited to):
a living area over a garage,
a living area in a basement,
a small addition to the primary dwelling, or
a manufactured home (legally classified as real property).
Can Boarder income be used ever?
Home Ready will allow for the use of boarder income on a ADU. The rental payments that any borrower receives from one or more individuals who reside with the borrower (who may or may not be related to the borrower) may be considered as acceptable stable income. This applies for a one-unit property in an amount up to 30% of the total gross income that is used to qualify the borrower for the mortgage if the boarder
is not obligated on the mortgage loan and does not have an ownership interest in the property;
has lived with the borrower for the last 12 months;
can provide appropriate documentation to demonstrate a history of shared residency (such as a copy of a driver’s license, bill, or bank statement that shows the boarder’s address as being the same as the borrower’s address); and
can demonstrate the payment of rental payments (such as with copies of canceled checks) to the borrower for
the last 12 months, or
at least 9 of the most recent 12 months provided the rental income is averaged over a 12–month period.
Payment of rent by the boarder directly to a third party is not acceptable.
Max financed props is 2 on Homeready
What is max financed properties for Fannie?
10
Can Fannie do Lava zone 1 or 2?
No 1 and 2 not eligible.
Can we do rebate (premium) pricing on Arms? How about portfolio fixed rate?
No on arms, up to .75 on ports to offset closing costs
Yes on portfolio fixed rate mtgs. Limits though, .75 for 30 yr, . .5 pts on 15year.
Do you need an approve eligible AUS /DU to lock a rate?
Yes
If lock ends on weekend or holiday can it be extended to next biz day?
Yes
If you lock a client and important information changes, i.e. borrower change, Loan amount of 100k or more increase, property designation change i.e condo discovered to be non warrantable what happens with the lock?
You will be subject to relock policy and that days pricing most likely. Accuracy is paramount.
What is the 90% simultaneous close?
Can do a 1st and heloc 2nd up to 90% and LA of 2 million owner occ. 700 min fico. 45 dti. Fixed rate and arms allowed.
Can do up to 2.5 million but must be SFR primary only.
For both: 1st must be Amer Savings. Note if just a heloc, we dont handle, we push to Banker in branch.
*min Down of 5% from Borrowers own funds.
Eligible props: 1-4 unit, Eligible condos, Non warrantable condos, puds and fee simple.
NOT eligible- Condotels , Excess acreage , land loans. construction, timeshares, coops, working farms and leasehold.
No can 2nd home or investor
What is the max ltv for our portfolio owner occ 1-4 unit purch/ r/t refi’s for loan amount up conforming limit? UP to 2 million? 2 to 2.25 mill? and 2.25 mill to 2.75 mill?
-conforming is 80% max (obviously mi option to 97)
-conf to 2mill= 80% max ltv
-2-2.25 mill = 75% max
-up to 2.75 mill = 70% max
