Post Image

In the Know - June 2018

Jul 11, 2018 | Delegated, Correspondent

At Home Point Financial, our goal is to deliver an exceptional service experience for our clients through open communication. When you have questions, we have the answers.

  • Lock Confirmations are not posted on The Point for Mandatory loans. They will be emailed from the HPFC Trade Desk
  • Use of Power-of-Attorney (POA) restricted to primary or second home transactions
  • All VA refinance transactions must meet the seasoning requirements on the current mortgage. The Note date of the refinance mortgage must be on or after the later of:
    • The date that is 210 days after the date on which the first monthly payment was made on the mortgage being refinanced, and
    • The date on which six full monthly payments have been made on the mortgage being refinanced
  • VA IRRRL transactions must document:
    • Fee Recoupment. All IRRRL transactions must include a recoupment statement to the VA that certifies that all fees and incurred cost shall be recouped within 36 months after the date of the loan note. Credit qualification will not be acceptable in lieu of payment savings to offset the fees incurred
    • Net Tangible Benefit (NTB). All IRRRL transactions must include evidence to the borrower of an acceptable net tangible benefit test:
      • When refinancing from a fixed rate to a new fixed rate loan, the interest rate must be reduced by at least .50% from the previous loan
      • When refinancing from a fixed rate to an adjustable rate (ARM), the interest rate must be reduced by at least 2.00% from the previous loan
    • To learn more about the VA refinance guideline changes,¬†contact your Client Advocate

Have additional questions? Contact us today!