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AUS Non-Conforming Program Guidelines

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AUS Non-Conforming Program Guidelines AUS Non-Conforming Program Guidelines Revised 5/7/2019 rev. 102 (Click the link to go straight to the section) 1 Program Summary 10 Borrower Eligibility 19 Appraisal 2 Product Codes 11 Underwriting Method 20 Geographic Restrictions 3 Program Matrix 12 Credit 21 Max Financed Properties 4 Occupancy 13 Income and Employment 22 Mortgage Insurance 5 Transactions 14 Qualifying Ratios 23 Repair Escrows 6 Property Flips 15 Down Payment/Gifts/Assets 24 ARM Adjustments 7 Identity of Interest 16 Reserves 25 Temporary Buydowns 8 Loan Limits 17 Interested Party Contributions 26 Insurance 9 Subordinate Financing 18 Property Eligibility 27 Other Requirements 28 Interest Only Section 1 Program Summary Plaza’s AUS Non-Conforming loan program utilizes Desktop Underwriter (DU) findings for a more simplified origination of a non-conforming program. Conforming and non-conforming loans amounts from $100,000 to $3,000,000 are available. The AUS Non-Conforming program offers Fixed Rate and ARM fully amortized and Interest Only products. Section 2 Product Codes Product Codes and Loan Term Available Term Product Name Product Code Loan Term in Months AUS Non-Conforming 15 Year Fixed NQDUF15 15 YR 180 AUS Non-Conforming 30 Year Fixed NQDUF30 30 YR 360 AUS Non-Conforming 5/1 LIBOR ARM NQDUA51 30 YR 360 AUS Non-Conforming 7/1 LIBOR ARM NQDUA71 30 YR 360 AUS Non-Conforming 10/1 LIBOR ARM NQDUA101 30 YR 360 AUS Non-Conforming 40 Year Fixed Interest Only NQDUF40IO 40 YR 480 AUS Non-Conforming 10/1 LIBOR ARM Interest Only 40 Yr NQDUA1040I 40 YR 480 This information is published and/or provided by Plaza Home Mortgage, Inc. as a courtesy to its clients and is meant for instructional purposes only. None of the information provided is intended to be legal advice in any context. Plaza makes every effort to provide accurate information. Plaza does not guarantee, warrant, ensure or promise that it is correct, and any effort to blame Plaza if this information proves to be incorrect will be vigorously defended. Each client is highly encouraged to seek the advice of legal counsel prior to distributing any of the information provided herein. Any unauthorized use, dissemination or distribution of this document is strictly prohibited. Plaza Home Mortgage, Inc. is an Equal Housing Lender. This is not a commitment to lend. Information is intended for mortgage professionals only and is not intended for public use or distribution. Terms and conditions of programs are subject to change at any time. Refer to Plaza’s underwriting and program guidelines for loan specific details and all eligibility requirements. © 2019 Plaza Home Mortgage, Inc. Plaza Home Mortgage and the Plaza Home Mortgage logo are trademarks of Plaza Home Mortgage, Inc. All other trademarks are the property of their respective owners. All rights reserved. Plaza NMLS #2113. P.W.AUS Non-Conforming Program Guidelines.G.102.5.7.19 Page 1 of 13 plazahomemortgage.com Section 3 Program Matrix Primary Residence Purchase and Rate/Term Refinance Property Type LTV CLTV Credit Score Loan Amount Max DTI 95%1 95%1 680 $1,500,000 35% 1-Unit SFR 90% 90% 720 $3,000,000 45% PUD 90% 90% 680 $2,000,000 45% Condo 85% 85% 640 $2,000,000 45% 85% 85% 720 $3,000,000 45% 2-4 Units 85% 85% 640 $2,000,000 45% 1. LTV/CLTV > 90%: Non-occupant co-borrowers not allowed. Maximum combined 1st and 2nd lien loan balance $1,500,000. Primary Residence Cash-out Refinance Property Type LTV CLTV Credit Score Loan Amount Max Cash-out Max DTI 95%1 95%1 720 $1,500,000 $100,000 35% 1-Unit SFR 85% 85% 720 $3,000,000 $250,000 45% PUD 85% 85% 680 $2,000,000 $250,000 45% Condo 75% 75% 640 $2,000,000 $500,000 45% 80% 80% 720 $3,000,000 $500,000 45% 2-4 Units 80% 80% 680 $2,000,000 $500,000 45% 75% 75% 640 $2,000,000 $500,000 45% 1. LTV/CLTV > 85%: Non-occupant co-borrowers not allowed. Maximum combined 1st and 2nd lien loan balance $1,500,000. Second Home Purchase and Rate/Term Refinance Property Type LTV CLTV Credit Score Loan Amount Max DTI 1-Unit SFR 85% 85% 720 $3,000,000 45% PUD 85% 85% 640 $2,000,000 45% Condo Second Home Cash-out Refinance Property Type LTV CLTV Credit Score Loan Amount Max Cash-out Max DTI 1-Unit SFR 80% 80% 720 $3,000,000 $500,000 45% PUD 80% 80% 680 $2,000,000 $500,000 45% Condo 75% 75% 640 $2,000,000 $500,000 45% This information is published and/or provided by Plaza Home Mortgage, Inc. as a courtesy to its clients and is meant for instructional purposes only. None of the information provided is intended to be legal advice in any context. Plaza makes every effort to provide accurate information. Plaza does not guarantee, warrant, ensure or promise that it is correct, and any effort to blame Plaza if this information proves to be incorrect will be vigorously defended. Each client is highly encouraged to seek the advice of legal counsel prior to distributing any of the information provided herein. Any unauthorized use, dissemination or distribution of this document is strictly prohibited. Plaza Home Mortgage, Inc. is an Equal Housing Lender. This is not a commitment to lend. Information is intended for mortgage professionals only and is not intended for public use or distribution. Terms and conditions of programs are subject to change at any time. Refer to Plaza’s underwriting and program guidelines for loan specific details and all eligibility requirements. © 2019 Plaza Home Mortgage, Inc. Plaza Home Mortgage and the Plaza Home Mortgage logo are trademarks of Plaza Home Mortgage, Inc. All other trademarks are the property of their respective owners. All rights reserved. Plaza NMLS #2113. P.W.AUS Non-Conforming Program Guidelines.G.102.5.7.19 Page 2 of 13 plazahomemortgage.com Investment Property Purchase and Rate/Term Refinance Property Type1 LTV CLTV Credit Score Loan Amount Max DTI 1-Unit SFR 85% 85% 720 $3,000,000 45% PUD 85% 85% 640 $2,000,000 45% 2-4 Units 1. Condominiums not allowed on investment property transactions. Investment Property Cash-out Refinance Property Type1 LTV CLTV Credit Score Loan Amount Max Cash-out Max DTI 1-Unit SFR 80% 80% 720 $3,000,000 $500,000 45% PUD 80% 80% 680 $2,000,000 $500,000 45% 2-4 Units 75% 75% 640 $2,000,000 $500,000 45% 1. Condominiums not allowed on investment property transactions. Section 4 Occupancy Owner-occupied primary residence Second home Investment properties Section 5 Transactions Purchase Rate/Term Refinance Cash-Out Refinance Rate/Term Refinance: The new loan amount is limited to the payoff of an existing first lien mortgage, any subordinate liens used to purchase the property, and closing costs and prepays. Cash to the borrower is limited to the lesser of 1% or $2,000. Properties currently listed for sale at time of loan application are not eligible for a rate/term refinance transaction. If the property was listed within the last 6 months, the following is required: o Maximum 80% LTV/CLTV o Proof of canceled listing prior to closing. o Acceptable letter of explanation from the borrower detailing the rationale for changing the intention to sell. Cash-Out Refinance: The property must have been purchased by the borrower at least 6 months prior to the loan application. For properties purchased with cash within the last 6 months, refer to the Delayed Financing section below. There must be seasoning of at least 6 months since any prior financing or refinancing was obtained. Properties that have been listed for sale within the past 6 months of loan application are not eligible for a cash- out refinance transaction. Maximum cash-out limitations include the payoff of any unsecured debt, unseasoned liens, and any cash in hand. This information is published and/or provided by Plaza Home Mortgage, Inc. as a courtesy to its clients and is meant for instructional purposes only. None of the information provided is intended to be legal advice in any context. Plaza makes every effort to provide accurate information. Plaza does not guarantee, warrant, ensure or promise that it is correct, and any effort to blame Plaza if this information proves to be incorrect will be vigorously defended. Each client is highly encouraged to seek the advice of legal counsel prior to distributing any of the information provided herein. Any unauthorized use, dissemination or distribution of this document is strictly prohibited. Plaza Home Mortgage, Inc. is an Equal Housing Lender. This is not a commitment to lend. Information is intended for mortgage professionals only and is not intended for public use or distribution. Terms and conditions of programs are subject to change at any time. Refer to Plaza’s underwriting and program guidelines for loan specific details and all eligibility requirements. © 2019 Plaza Home Mortgage, Inc. Plaza Home Mortgage and the Plaza Home Mortgage logo are trademarks of Plaza Home Mortgage, Inc. All other trademarks are the property of their respective owners. All rights reserved. Plaza NMLS #2113. P.W.AUS Non-Conforming Program Guidelines.G.102.5.7.19 Page 3 of 13 plazahomemortgage.com Delayed Purchase Refinance: A Delayed Purchase Refinance is the refinance of a property purchased by the borrower for cash within 6 months of the current loan application date and requires the following: The LTV/CLTV is calculated based on the lesser of the purchase price or appraised value of the subject property.
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