Top 3 lessons on FNMA Day 1 Certainty
Over the last twelve months I have been confronted with quickly learning the in’s and outs of Fannie Mae Day 1 Certainty program, this blog is just about the income portion. I have to say I am a huge fan of the product, but just like any other technology, a lack of understanding of what […]
Exclude Other|Paid Borrower Debt on FHLMC Loans?
Off and on for the last few years I have been a volunteer financial coach at my church using the Financial Peace University program created by Dave Ramsey. This is a fantastic program that provides all you need to know about how to keep a “peaceful” balance of money in your life.
#1 mistake for a cash out delayed financing loan!
The conventional (FNMA/FHLMC) cash out delayed financing exception program seems to carry a lot of misinformation with the program. I think the reason behind this top mistake is it isn’t a widely used program. Unless you work at a lender where the sales staff has a good clientele of rehabbers or investment property purchasers, you may not see this program.
Major changes to student loan rules for FHLMC
The challenge of estimating the effect student loans on a potential borrower’s ability to repay their mortgage still seems to be an issue at both Fannie Mae and Freddie Mac. With the rising cost of getting an education, making a wrong move now could be detrimental to the future of our industry.
The problem with “other” income
A question that has come up in our email box recently is “Can I use “other income” noted on the VOE”? I think the increase of this question in our in-box has to do with the increased use of Fannie Mae’s Day 1 Certainty program. When I reply and ask a few questions it goes something like this.
Must Borrowers Pay Off Tax Liens or Judgments? | Blueprint
Credit reporting agencies have changed the rules. The question of judgments and tax lien payoffs has come up at multiple lenders. Multiple different lenders have contacted me with questions from their team, here is the main question I receive.
2 new updates on FHLMC appraisal waiver program
The technology that has been leading the industry news over the last year has been Fannie Mae’s Day One Certainty program. This program’s goal is to give lenders immediate certainty that their income, assets, and value will be approved. This improvement allows sellers relief that loans sold to Fannie Mae will not return as a buy-backs costing thousands!
Income Continuance Rule: The ABCs for FHLMC
One of the basic requirements from both FNMA and FHLMC is for the underwriter to determine the stability of the income used to qualify. This is where the concept of continuance comes in.
Auction fee rules for purchases
Everyone wants a good deal when buying their next home. Some of the best deals are found on homes that have been foreclosed or purchased at an auction. However, these good deals can come with hidden problems both with the subject itself or getting the home financed. Most loan officers have been through the process of […]
Exclude mortgage, notes, and bonds from reducing your income
Mortgage, notes, and bonds due in under 1 year is a line item well known, but little discussed in the guidelines. This single item on a self employed borrower can take a deal from approved to declined in an instant! Even though this requirement for review has been around for years, yet I still find […]