From Fairway Wholesale
A Division of Fairway Independent Mortgage Corporation
Jumbo Expansion | Client Announcement 2021-03-22
Fannie and Freddie are implementing changes to Second Home and Investment properties to manage to the 7% limit, as announced by the Treasury/FHFB in January.
Based on these changes, all Second Home/Investment will now have a 50 bps LLPA effective with today's pricing.
The industry is in the process of reacting and adjusting to these changes, so this is a fluid and evolving situation.
You can read the full lender letter here: https://singlefamily.fanniemae.com/media/25286/display.
Second Home & Investment Properties Eligibility | Client Announcement 2021-03-15
Fairway Wholesale Lending is excited to announce the removal of current COVID VVOE Policies for correspondent transactions. Effective immediately, Fairway is eliminating the additional post close, pre-purchase VVOE for Correspondent transactions.
The updated Fairway Correspondent Policy requires a VVOE to be performed within 3 days prior to closing and subject to Fairway's normal QC audits.
Correspondent VVOE Policy Relaxed | Client Announcement 2021-03-10
FHA announced in FHA INFO 19-41 revisions to the Condominium Project Approval Requirements. Effective with case numbers assigned on and after 10/15/19, FHA will insure mortgages on Condominium Units approved in accordance with the standards outlined below for Site Condominiums.
Please be advised that on October 4, 2019, USDA released a new version of the Form 3555-21. Beginning November 1, 2019, Fairway will require the new form for all loans being submitted for underwriting. For loans that are currently in Underwriting, but have not yet been sent to USDA for conditional commitment, Fairway will require that the new form be completed and signed by all parties. The Underwriting Team will be conditioning for the new form, as required.
In an effort to continue prioritizing your purchase business, Fairway Wholesale Lending will begin enforcing the 48 hours window from CTC to closing date on all refinance transactions. This enforcement will go into effect Monday, August 26, 2019.
Fairway Wholesale Lending is pleased to announce the addition of contract underwriting services made available for eligible conventional loans with mortgage insurance.
To make it easy on you, Fairway will handle all interactions with the contract underwriting teams. Conventional loans that meet specific requirements will be identified at the time of file submission.
Please be advised that on July 15, 2019, Fairway Wholesale Lending made a change to its due diligence performed for closing professionals. For this process, Fairway has retained Closepin, an independent third party risk evaluation firm to conduct due diligence reviews.
Ginnie Mae has announced that it is revising the seasoning requirements in Chapter 24, Part 2 §(A)(3)(d)(i) to ensure that the requisite seasoning period is computed by reference to the first payment due date on each covered loan rather than by reference to the date on which the first payment is made.
Fairway has confirmed with VA that the recoupment cost requirement must be met on ALL VA IRRRLs in order to be eligible for a VA IRRRL loan. There is no exception for this requirement under any circumstances. Whenever the recoupment costs calculation evidences that a Borrower cannot recoup the costs of the new IRRRL within 36 months, the Borrower becomes ineligible for a VA IRRRL and must look at completing a regular full documentation refinance loan.
Please be advised that Fairway is now offering EXTENDED LOCKS and RATE FLOAT DOWNS!
The Extended Lock Program is offered under the Fannie Mae, Freddie Mac, and Ginnie Mae direct products for new construction loans only. It allows borrowers to lock an interest rate for periods of 120 or 180 days, with a float down option.