Issue Publish Date

July 25th, 2010June 25th, 2010May 25th, 2010April 25th, 2010March 25th, 2010February 25th, 2010January 25th, 2010December 25th, 2009November 25th, 2009October 25th, 2009September 25th, 2009August 25th, 2009July 25th, 2009June 25th, 2009May 25th, 2009April 25th, 2009March 25th, 2009February 25th, 2009January 25th, 2009December 25th, 2008November 25th, 2008October 25th, 2008September 25th, 2008

Compliance

Jul 25, 2010 • Compliance LQI Credit Inquiries: I am trying to find out how to comply with LQI if new inquiry? Is the borrower’s statement enough? Or do you have to check with Creditor or credit bureau? [Download Mortgage Talking PointsTM flyer, Credit Do's & Don'ts Before You Close - Coaching Your Clients!]

• GFE 10-Day Closing Cost Guarantee: I was under the impression that 10 days was the standard, but an Attorney told me yesterday that we (Lender) could decide on how long we will honor the closing costs on the GFE.

Jun 25, 2010 • Compliance Credit Report Before Closing: Could you send me the information stating that the credit will be pulled prior to closing?

• Compliance: Redlining - My Credit Union wants to offer 1% discount, to rate, for members who apply for a mortgage at one of their branches. Could this be considered “disparate treatment” or “redlining”?

• Compliance RESPA : Is it considered a RESPA violation for a settlement agent to offer a "tolerance guarantee" as a promotional tool because it is considered a "thing of value." Example: Title company uses an automated quote system to produce guaranteed quotes. As a marketing tool, we tell lenders to use the quote system, and if it's wrong and leads to a tolerance violation, then the title company will indemnify the lender for the penalty.

May 25, 2010 • Compliance HUD Closing Cost Booklet: I’ve been sending clients to the HUD website to download the HUD Closing Cost Booklet. Is this okay?

• Compliance Lender Paid MI on GFE: I have a loan with Lender-Paid Mortgage Insurance. My Lender is saying that the GFE has to disclose that there is MI. I say we don’t, who is correct?

Fannie Mae

Jul 25, 2010 • Fannie Delayed Paycheck: I have a borrower who is scheduled to receive their 1st SS check in Oct. Do we have to wait to close the loan so the first payment due date falls on Oct.? (I guess the same question would apply if someone is starting a new job and wants to close before receiving their 1st paycheck!)

Jun 25, 2010 • Fannie No-Cash Out Refi: If I do a Fannie to FANNIE refi as a no cash-out can the borrower still get back the lesser of 2% of the loan amount or $2000. I had someone tell me it had to be a principal reduction.

• Freddie Non-Occupy Co-Mortgagor: What are the Freddie guidelines for non-occupying co-mortgagors?

• Fannie Home Listed Sale: I have a client that wants a rate/term refi on her home. However, she recently had it listed for sale. She withdrew the listing this week. Will we have an issue with this application and will I need additional docs??

May 25, 2010 • Fannie Pre-Foreclosure Waiting Time: Please explain the pre-foreclosure rules recently issued by Fannie. They are confusing! [Download Mortgage Talking PointsTM flyer, Advising Short Sale & Deed In Lieu Clients]

• Fannie Buying Home After Divorce: Client is divorcing, ex awarded house - both on mortgage - he will not refinance. Can she purchase another (and not have the debt of current house considered in ratio) if she is buying another?

Fannie Mae/Freddie in Brief

Jul 25, 2010 • Fannie/Freddie Financed Mortgage Insurance: What's the difference between Fannie/Freddie, when it comes to Financed PMI? [Chart Included - Comparing Fannie/Freddie Financed Mortgage Insurance]

Jun 25, 2010 • Fannie/Freddie 401K Loan: Does Fannie or Freddie count the payment for a 401K in the ratios if used for the down payment?

May 25, 2010 • Fannie & Freddie Number of Co-Signers: I was wondering if you know of any way to get a loan approved with 6 borrowers...DU/LP is only allowing 4.

FHA

Jul 25, 2010 • FHA Assumable Loan Rules: My FHA borrower disclosures mention the ability to assume an FHA loan - How does that work? [Download Mortgage Talking PointsTM flyer, FHA Assumptions=More $ales]

• FHA and Short Sales: What are the rules for obtaining a new FHA loan if a borrower has had a short sale? [Download Mortgage Talking PointsTM flyer, FHA Short Sale Rules]

• FHA Streamline Refi: What is the max. loan amount for a FHA streamline refinance without an appraisal? [Download FHA Streamline Refi Worksheet]

• FHA Assumable Loan Rules: What is FHAs policy for collection accounts? I have a high credit score borrower, however, he has a $16k and a $9k (recent) medical collection.

Jun 25, 2010 • FHA Escrow For Repairs: I have a client who wants to purchase a home that needs floors and appliances. Can they do a 203b FHA loan and add the repairs into the calculation for maximum loan amount, and do a repair escrow at closing? [Download Mortgage Talking PointsTM flyer, FHA Repair Escrows - How and When They Work! Supporting Resources: Mortgage Talking PointsTM flyer FHA Repair Escrows: How and When They Work

• FHA Adding Borrower To Title for Refi: How long does FHA require that the new borrower be on the title? For example, can the borrower be added to the title today, process the loan, and close in 45 days from today?

• FHA Identity of Interest Refinance: A father is buying a home for his son to live in and paying cash, because the FHA loan is taking too long to meet contract dates. Then the son would like to reapply and purchase from his father down the road. Is there a seasoning requirement or anything else we need to know?

• FHA Buying Home W/O Selling Other Home: Does FHA have specific guidelines on how to qualify a client with a purchase (new primary) when current primary has not yet sold.

• FHA 203K Repairs: I have a customer buying a HUD home that was appraised in March for $52,500 as is. It needs a new roof for $5K. Can I do a 203K loan on this property?

• FHA 203K HUD Foreclosure: Can HUD-owned properties be purchased using the 203(k) loan?

May 25, 2010 • FHA Doc Stacking Order: Do you have an updated stacking order for FHA audit files that includes new RESPA docs? [Download FHA Stacking Order Chart] Supporting Resources: FHA Stacking Order Chart

• FHA Bridal Registry Rules: My underwriter says that only a bank can utilize bridal registry accounts. Is this true? [Download Mortgage Talking PointsTM flyer, Say “I DO” to Bridal Registry Accounts] Supporting Resources: FHA Mortgagee Letter 1997-20: HUD Bridal Registry Accounts Mortgage Talking PointsTM flyer Say I Do to FHA Bridal Registry Account

• FHA Party Wall Agreement: I have a loan I'm trying to close on an attached town home. I’m being told we need to see a "shared party wall agreement”. Does FHA require it? [Download Party Wall Agreement Form] Supporting Resources: FHA Party Wall Agreement

• FHA Buying Home Without Selling Other: What are the FHA rules for buying a primary residence without selling current home - converting current home into a conventional investment property.

• FHA Appraisal Transfers: I have a lender who is being difficult on an appraisal transfer request and won’t cooperate. Can you provide me with the FHA guideline about this subject?

Freddie Mac

Jul 25, 2010 • Freddie Rules if Prior Foreclosure: I would like to know if Freddie’s rules are different than Fannie's on short sales & deed-in-lieu!

May 25, 2010 • Freddie Ratios Over 45%: We have a few loans that exceed 45% DTI and we have LP Approvals. We have not funded loans over 45% because of verbiage from Freddie. Where can I find where Freddie will buy loans that exceed 45% DTI?

Reverse Mortgage

Jul 25, 2010 • FHA Reverse Mortgage: I have a mother/daughter that have been living in the subject property for years. The property is in the daughter’s name. The daughter is 6 months late on her mortgage. Can we transfer the deed to the mother and do a reverse mortgage?

Universal Topics

May 25, 2010 • Universal Loan Modification: I have a client who I think is being ripped off by a loan modification company. I don’t know much about them but want to help both my clients and real estate agents avoid these types of scams. [Download Mortgage Talking PointsTM flyer, Protect Your Clients From The Latest Loan Modification Scams!] Supporting Resources: Mortgage Talking PointsTM flyer Protect Your Clients from the Latest Loan Modification

VA

Jul 25, 2010 • VA Flipping Policy: I have a borrower purchasing a home that Fannie Mae just took over 1 month ago. The new purchase will be a VA loan. Does VA require 2 appraisals, as FHA does, if the property is purchased within 90 days of the previous sale?

• VA Cash-Out Refinance: Can you do a VA Refinance, cash-out or rate and term, on a property that currently does not have a mortgage? The VA Handbook is really vague on this issue!

Jun 25, 2010 • VA Power of Attorney: I have a client whose husband was deployed to Afghanistan before they could complete the loan. His wife has a Power of Attorney. The title company said he has to be home to sign the papers. Is it possible to do a loan, without him here?

• VA Non-Taxable Income: Does VA allow grossing up social security income?

May 25, 2010 • VA Allowable Fees: Is the veteran allowed to pay the escrow fee? [Download VA Borrower Fee & Expense Matrix] Supporting Resources: VA Borrower Fee & Expense Matrix