Download No Cash-Out/Non Streamline(Rate/Term)– Refinance Maximum

No Cash-Out/Non Streamline(Rate/Term)– Refinance Maximum Mortgage
Worksheet #8
(Full Credit Qualifying) Full FHA Appraisal Required
1-A
County loan limit
X
APPRAISED VALUE
Appraised value (See calculation 1-D below if owned less than 1 year prior
to application and loan is not FHA insured )
97.75
=
$
1-B
$
Maximum Mortgage BEFORE UFMIP
EXISTING DEBT PLUS ALLOWABLE ADDITIONAL ITEMS
Payoffs on loans closed prior to 1/21/2015: Principal balance on existing
first lien + prepayment penalties + up to one month monthly MIP + up to
60 days interest accrued for the current month on the old loan + accrued
late charges + escrow shortages.
Payoffs on loans closed 1/21/15 and after: : Principal balance on existing
first lien + prepayment penalties + up to one month monthly MIP + daily
per diem interest thru the 3 day right of rescission, plus 2 additional days
interest for payoff to be received by current lender+ accrued late charges +
escrow shortages.
MIP Refund, if applicable
Allowable borrower-paid closing costs
Lender credit for closing costs and prepaid expenses
Property-related liens for acquisition, repair or rehabilitation or any other
property liens that are seasoned at least 1 year. If more than $1,000 has
been drawn on a HELOC within the last 12 months and funds were not
used for repairs or rehab the 2nd mortgage can’t be included.
Repairs required by the appraiser
Equity to ex-spouse (Supported by verifications)
Prepaid Expenses (Per Diem interest to end of month on new loan +
flood/hazard insurance deposits + real estate tax deposits)
1-C
$
+
-
+
+
+
+
+
=
Reasonable Discount Points
$
Maximum Mortgage BEFORE UFMIP
If the property was acquired more than one year before loan application, the MAXIMUM
MORTGAGE BEFORE UFMIP IS LOWEST OF (1-A) (1-B) or (1-C).
If property was acquired less than one year before loan application, and not already
FHA insured, continue. . . . .
1-D.
$
ACQUIRED LESS THAN ONE YEAR AND NOT ALREADY FHA INSURED
Original Sales Price
Repairs (If applicable) (Paid after purchase and documented in the file)
+
=
X
97.75
=
$
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Maximum Mortgage BEFORE UFMIP
01/26/15
No Cash-Out/Non Streamline(Rate/Term)– Refinance Maximum Mortgage
Worksheet #8
If property was acquired less than one year before loan application, and not already
FHA insured MAXIMUM MORTGAGE BEFORE UFMIP IS LOWEST OF (1-A), (1-B), (1-C) or
(1-D)
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Upfront MIP is 1.75%
LDP/GSA lists must be checked.
CAVIRS number must be pulled and clear.
Minimum FICO 620. Exceptions allowed – See 580 – 619 Overlay Exception Checklist.
FICO’s for Loan amounts over $417,000 – Refer to Investor Specific Guides for FICO requirements.
Term of the new loan can be up to 30 years.
Owner occupants only. No investors. No non-profits.
Payment can increase without restrictions.
VOM or other documentation is required which includes principal balance, date loan originated, names
of original borrowers and type of loan. Other credit verifications are also required (VOE, VOD, etc.)
There is no holding period. Acquisition could be a limiting factor.
Max CLTV is 97.75.
Borrower may receive no more than $500.00 cash back at closing.
Social Security Numbers must be verified for all borrowers.
Per ML 96-18, all interest EXCEPT “delinquent interest” can be included as part of the “existing first
lien”. For example, if the loan is being paid off 12-22, the December interest can be included but not
November. Therefore the borrower will need to make the December payment on or before closing.
A pay-off statement from the previous lender showing the unpaid principal balance for the month of
the closing for the previous loan should be included in the endorsement binder.
Mortgagors must be current on the mortgage being refinanced for the month due prior to the month in
which they close the refinancing and for the month in which they close. For example, if the mortgagor
is closing on April 8, the mortgagor must have paid the March payment within the month of March.
The mortgagor must make the April payment by closing. The mortgagor must make the April payment
by closing. The mortgagor has the option to make the April payment at the beginning of the month, or
may include the April payment in the payoff amount at closing.
Refinance of three and four unit properties must follow the same guidelines as for purchase
transactions (4155.1.2.b.4).
The table below describes policy guidance on the maximum mortgage amount available for
mortgagors who re-occupy their investment property securing the mortgage which is being refinanced.
Occupancy of Former Investment Property
12 months or more prior to the loan
application date of the refinancing mortgage
Less than 12 months prior to the loan
application date of the refinancing mortgage
Page 2 of 2
Eligible Financing
Maximum financing at the same level as an owneroccupant
Rate-and-term refinancing only (no streamline
allowed), with an LTV not to exceed 85 percent.
01/26/15