Fannie Mae – Adding New Person to Title for Cash-Out

Question: My client has owned a property for 12 months and wants to add his friend to the title so that they can do a cash-out refinance to pay off the mortgage and cash-out the money spent on renovating the property. Is there a waiting period involved, and how do I document this file? Answer: [...]

2019-08-21T12:25:08-05:00August 26th, 2019|

Fannie Mae – HomePossible™- Borrowers on Title: If an occupying co-borrower wants to be on the note but not the deed, will the down payment be 3% or 5%? [MC Chart – 97% Fannie Vs. Freddie Chart]

Answer: If all borrowers are occupying, then 3% is acceptable.  It sounds like they are signing the Note but not the mortgage deed, which shouldn’t be an issue as long as they are an occupying co-borrower and will have their debts and income assessed in the overall eligibility of the loan.    Social Media Post: Fannie [...]

2019-02-21T16:16:38-05:00February 25th, 2019|

FHA – Purchase Contract Requirements – Spouse – Is the spouse permitted to be on the contract and title without being on the loan? [NEW MTP™ “We Are Family! How FHA Defines a ‘Family Member’”

Answer: Per the FHA guideline below the spouse’s name would not have to be removed from the Sales Contract even if they are not a borrower. Typically, the spouse will be added to title at closing without a problem; however, the loan will be closed initially in the name of the borrower only as this [...]

2018-05-25T17:06:47-05:00May 24th, 2018|