Term
Direct Endorsement Program |
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Definition
Simplifies and speeds the process by which mortgagees can gain mortgage insurance endorsements from HUD |
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Term
FHA Direct Endorsement Lender (DE) |
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Definition
Lender is authorized to underwrite and close mortgage loans without prior submission for FHA review or approval |
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Term
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Definition
- credit
- capacity
- cash
- collateral
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Term
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Definition
- Housing Expense Ratio
- down payment
- accumulated savings
- previous credit history
- compesation or imcome not reflected in effective income
- minimal housing expense increase
- substantial cash reserves
- substancial non-taxable income
- potential for increased earnings
- primary wage-earner relocation
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Term
| Property Guidelines for FHA loans |
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Definition
- eligibility of the property
- condition of the property
- maximum mortgage amount permitted where the property is located
- occupancy
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Term
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Definition
- required to occupy the property within 60 dys of closing
- required to occupy the property for a minimum of 1 year
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Term
| FHA seller/third party contribution limits |
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Definition
| up to 6% or value or sales price (the lessor of the two) |
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Term
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Definition
Upfront Mortgage Insurance Premium
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Term
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Definition
| Certificate of Eligibility |
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Term
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Definition
- a veteran's maximum guaranty amount
- 25% of the purchase price or value (lessor of the 2)
- all eligible veterans receive $36k of basic entitlement
- max entitlement amount is $104,250 (max purchase price at 0% DP is $417K
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Term
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Definition
| amount of income remaining after subtracting taxes, housing expenses and all recurring debts and obligations |
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Term
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Definition
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Term
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Definition
| Certificate of Reasonable Value |
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Term
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Definition
- non-refundable, one-time fee at closing for guaranteeing the loan
- waived for disabled veterans and surviving spouses of veterans who died in service or from service-connected disabilities
- max 3.30%of loan amount
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Term
| Veterans cannot be charged the following fees under VA regulations |
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Definition
- attorney's fees
- brokerage fees
- prepayment penalties
- builder's HUD/FHA inspection fees
(in addition to the itemized fees the lender may charge a flat fee, not to exceed 1% of the loan amount, to cover the lender's costs and services for originating the loan. if the loan does not close for any reason, the lender must refung this 1% flat fee. |
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Term
| USDA Rural Development Programs = Section __ |
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Definition
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