As previously announced, FNMA is “retiring all legal documents specific to the use of COFI from [its] website” (FNMA Ann. SEL-2019-01). Subsequent to this announcement, FHLMC also announced their retirement of certain shared uniform instruments which use the COFI (see FHLMC Bulletin 2019-5)….
Our field Previous Loan Note Date (FI 6677) has a global optional prompt that fires for IRRRL loans. Since Field 6677 is no longer on our VA Refinance Loan Comparison (Cx14501), we are removing this global prompt. All other prompts and mappings on Field 6677 will remain in place….
Over the past year, we have expanded our support for cooperative loans into multiple states and multiple loan products. To summarize, we provide generic documents for closed-end cooperative loans which are:
- In a primary lien position;
As previously announced, new “VA Non-IRRRL Refinance Comparison Certification” (Cx22999) will print by default in place of Cx14501 for Non-IRRRL VA refinances. Part of this change is to print Cx22999 in Redisclosure document packages, as lenders are encouraged to in VA Circ….
As previously announced, FNMA has published a new version of their “Uniform Underwriting and Transmittal Summary” (FNMA Form 1008), which they will require to be used starting July 1, 2019. FHLMC requires the form to be used in connection with loans with application dates on or after June 5,…
Document Retirement: Several Maine Alternative Mortgage Transaction Disclosures (Cx17637, Cx17638, & Cx17670)
Pursuant to the provisions of 02-029 Code Me. R. ch. 119, §§ 4 & 5 and 02-030 Code Me. R. ch. 250, §§ 4 & 5, we have been providing the following documents:
- ME Alternative Mortgage Transaction Disclosure – Construction (Cx17637)
- ME Alternative Mortgage Transaction Disclosure – Buydown (Cx17638)
- ME Alternative Mortgage Transaction Disclosure – Balloon (Cx17670)
In a joint rule of the Maine Bureau of Financial Institutions and the Bureau of Consumer Credit Protection,…
New Documents: VA Non-IRRRL Refinance Comparison Certification (Cx22999) and VA Non-IRRRL Loan Recoupment Certification (Cx23000)
Previously, we had made a non-IRRRL version of our “VA Refinance Loan Comparison” disclosure (Cx14501) to support the new Type I and Type II Cash-Out Refinance Loan net tangible benefit requirements published by the VA.
Since that announcement,…
Docutech has been advised by the Kent County Recorder of Deeds Office that additional recording fees may be assessed for Riders that have smaller font sizes than the font size found on the corresponding Mortgage document.
Currently, Delaware Mortgages (such as our Cx316 DE Mortgage) print in 12 point font….
In Program Bulletin #2019-03, California Housing Finance Agency (CalHFA) announced a universal promissory note and universal deed of trust will be used effective for all loan reservations on or after March 1, 2019. CalHFA will continue to purchase subordinate loans that have correct older document versions until July 1,…
Our generic “Buydown Agreement” (Cx25) is provided to fulfill various GSE and Federal agency requirements, including those promulgated under FNMA 2019 Single-Family Handbook B2-1.3-05.
Ibid. requires that “when the lender funds the buydown, the buydown agreement must require that the funds in the buydown account be transferred to the new servicer if the mortgage is included as part of a subsequent transfer of servicing.”
We are continuing the expansion of our support for loans secured by a borrower’s ownership shares and lease in a cooperative unit (“cooperative loans”) by rolling-out support for HELOC cooperative loans for cooperative units located in California.
Similar to what we have done for HELOCs in New York,…
Kansas Loan Broker Disclosure (Cx4248) is required to be disclosed pursuant to Kan. Stat. Ann. § 50-1006(a) & (b) by a loan broker registered under Article 10 (Loan Brokers), Chapter 50 (Unfair Trade and Consumer Protection) of the Statutes of Kansas….
N.J. Admin. Code § 3:1-16.8 requires the following:
“Before accepting any trust funds, each lender shall disclose in writing to the party or parties depositing such funds the purpose for which the fund is established, the amount of the trust fund,…
As discussed in our previous announcement on the topic, the VA have posted new regulations applicable to all non-IRRRL refinance loans beginning on February 15, 2019. As part of the changes implemented, we created a new Data Integrity Warning regarding net tangible benefits that triggers when all of the following are true:
- Loan Type = VA
- Loan Purpose = CashOutOther OR NoCashOutOther
- Application Date On or After 02/15/2019 = Yes
- Document Package Type = Initial Disclosure or Closing
- VA Interest Rate Reduction Refinancing Loan (IRRRL) (does not equal) Yes
- Enable VA Refinance Data Integrity Check (does not equal) No
- All of the following:
- Net Tangible Benefit – Mortgage Insurance Rate Significantly Reduced (does not equal) Yes
- Net Tangible Benefit – Remove Mortgage Insurance by Lowering LTV (does not equal) Yes
- Net Tangible Benefit – Eliminate Mortgage Insurance or Monthly Guarantee Insurance (does not equal) Yes
- Net Tangible Benefit – Shorten Loan Term (does not equal) Yes
- Net Tangible Benefit – Lower Interest Rate (does not equal) Yes
- Net Tangible Benefit – Lower Monthly Payment (does not equal) Yes
- Net Tangible Benefit – Increase in Monthly Residual Income (does not equal) Yes
- Net Tangible Benefit – Cashout Benefit – Home Improvement (does not equal) Yes
- Is CLTV/LTV Greater Than 90% (does not equal) No
- Net Tangible Benefit – Convert from ARM to Fixed Rate (does not equal) Yes
This logic for this Warning checks to see whether any of the net tangible benefit fields are set to Yes….
Due to increased demand, we have expanded the enumerations for our field “Broker Is Doing Business As” (Field 50908). Previously, the business types supported were:
- Limited Liability Company
We have expanded these enumerations to also include the following business types:
- Corporation Sole
- Government Entity
- Joint Venture
- Limited Partnership
- Non-Profit Corporation
While not all of these types will be needed by all clients,…
We are expanding the scope of our support for loans secured by a borrower’s ownership shares and lease in a cooperative unit (“cooperative loans”) to include home equity lines of credit (“HELOCs”) when the cooperative unit is located in New York….
205 ILCS 635/5-8 prohibits a licensee from making, providing, or arranging a mortgage loan with a prepayment penalty unless the licensee first offers a loan without a prepayment penalty, the offer is in writing, and the borrower initials the offer to indicate that the they have declined….
We have modified the language and format of our standard California Request for Fair Lending Information, Cx18014, to more closely mirror the requirements of Cal. Code Regs. tit. 21, § 7114.1. The changes include the removal of the Ethnicity section,…
Document Updates: Payoffs Addendum on the Closing Disclosure (Cx18566) and Spanish Closing Disclosure (Cx18991)
Under 12 CFR § 1026.38(j)(1)(v) and 12 CFR Pt. 1026, Supp. I, Paragraph 38(j)(1)(v) – 2, “payoff[s] of other secured or unsecured debt” must be disclosed in the area subsequent to Line K.03 (“Closing Costs Paid at Closing (J)”) of the CD,…
We have modified our standard multi-state Security Instrument Riders for use with Home Equity Line of Credit packages. The specific documents (and their associated Cx IDs) are as follows:
- Second Home Rider – HELOC (Cx20384)
- Condominium Rider –