From Fairway Wholesale
A Division of Fairway Independent Mortgage Corporation
Dear Valued Clients,
Thank you for the business you’ve sent to us this month. In order to insure smooth closings and fundings, Fairway would like to remind you of the following important dates:
We encourage you to submit your CD request upon initial loan approval and work with your CRS to firm up closing dates.
As announced by the FHFA on August 25th, FNMA and FHLMC delayed the implementation date of their Adverse Market Refinance Fee until December 1, 2020. Fairway will phase in the application of the 50 bps Adverse Market Fee as an LLPA for all FNMA and FHLMC refinances using the schedule below to comply with the new delivery date:
Fairway Wholesale Lending is excited to announce that we have partnered with Mercury Network to offer a new and improved Appraisal Ordering Platform inside of DRIVER!
This new release will provide all our clients a standardized appraisal ordering experience all in one place. In addition to the new platform, we are expanding our approved AMC list by adding 4 additional AMC’s.
Stay tuned for additional announcements in the coming weeks.
We are excited to announce the latest enhancements to the DRIVER portal effective today!
*** Helpful tip *** When first importing initial 3.2, an Estimated Closing Date must be selected as a future date. Ability to re-import future 3.2 files will be unsuccessful if this initial date is invalid and would require assistance from Help Desk before proceeding to re-import another 3.2.
Dear Valued Clients –
Some enhancements have recently been made to the DRIVER portal allowing for an overall improved user experience.
We have created Reference Material to guide you through the changes. Click here for the DRIVER 5.15 Enhancement Guide.
Dear Valued Clients –
Due to the continued effects of COVID-19, Fairway has implemented guidance for customers that are or were in a COVID19/CARES Act related forbearance plan. This guidance applies to FNMA and FHLMC only at this time. Currently, there are no changes on government loan programs.
Effective 05/19/2020, the following guidance applies to all mortgage loans the borrower is obligated on, and all conventional transaction types. The reason for the borrower forbearance request, as well as any hardship, must be documented as overcome and not likely to recur. Any mortgage loan that has been, or is in forbearance will be analyzed as follows:
Due to the continued changes and challenges to the mortgage industry caused by COVID-19, effective Monday, May 4, 2020, Fairway Wholesale Lending is TEMPORARILY suspending Cash-Out Refinance Transaction for all loan types.
Fairway will honor the locked pipeline of Cash-Out Refinance transaction and allow loans that have been delivered to Fairway Wholesale Lending for underwriting to be locked once the loan obtains the underwriting APPROVAL.
Due to the rapidly changing environment to the mortgage lending industry caused by COVID-19, VA in Circular 26-20-13, has provided updated guidance and instruction for valuation and appraising for all VA home loan purposes.
Below is updated guidance for termite inspections for VA purchase and cash-out refinance transactions:
Effective today, Fairway Wholesale Lending will allow refinance transactions to be locked at a minimum FICO of 680 for all loan programs. Loans must still be in the APPROVED status.
Fairway will continue to apply other temporary restrictions on refinance transactions (30 day lock period and Approved status).
Due to the state and local shelter in place orders, the IRS has announced temporary suspension of IVES work. Effective immediately, IRS is not accepting tax transcript requests from lenders.
Fairway will accept transcripts obtained by the Borrower(s) on an Exception Only basis. Please work with your underwriter for an exception. Borrower(s) can obtain their own Tax Transcripts directly online from the IRS website.
Dear Valued Correspondent Clients –
Wednesday's (04/08/2020) COVID-19 VVOE Client Announcement did not address Fairway Wholesale Lending’s updated policy on VVOEs relative to Correspondent transactions. This Client Announcement is to communicate the temporary COVID-19 VVOE requirements on Correspondent transactions.
Due to the COVID-19 virus, the policy on VVOEs will be temporarily adjusted as follows:
Due to the continued effects of COVID-19, Fairway Wholesale Lending is temporarily changing our lock policy for refinance transactions.
At Fairway Wholesale Lending, the health and well-being of our customers, teammates, business partners and communities is our top priority. We understand this is a very difficult time for everyone and our thoughts and prayers are with those who may be affected by the virus.
Dear Valued Clients,
The GSEs have announced temporary flexibilities regarding appraisal and verbal verification of employment issues. These are effective immediately for all applications in process and will remain in place with applications received on or before May 17, 2020.
Dear Valued Clients –
On January 1, 2020, USDA Single Family Housing Guaranteed Loan Program will begin assessing a $25.00 technology fee from lenders on each loan that was submitted through the Guaranteed Underwriting System (“GUS”). Specifically, any file submitted via GUS that is issued Form RD.
Effective today, December 3, 2019 Fairway Wholesale Lending will begin accepting locks through the FWL website (www.fairwaywholesalelending.com) for the 2020 increased Conventional Loan Amounts up to $510,400 and increased FNMA / FHLMC High Balance loan limits.
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.