Updated Wholesale Lock Restrictions

Overview

As a reminder, Carrington Mortgage Services, LLC (CMS) recently implemented revised lock policy requirements requiring the loan be approved prior to lock and an appraisal in file (when required).  BrokerIQ has been updated to allow pricing even when the loan is not eligible for lock.  The requirement to select a loan product and price prior to loan submission has been reactivated as well.
Summary of Changes
Under the revised lock policy requirements, loans do not become eligible to lock until reaching the “Approval” milestone with an appraisal in the loan file (streamline loans do not require an appraisal). Therefore you are not able to view the eligible products until the loan is far along in the loan process. This has caused several issues resulting from submissions of ineligible loan products.
The updated policy requirements have been causing the pricing engine to return all products at early loan milestones as ineligible as shown below:

With this BrokerIQ update, you will now be able to view eligible loan programs and pricing earlier in the loan process; however, the eligible loan programs will display with “Expired” pricing.

Please Note: you can now price loans at the earlier milestones; however, you will not be able to request a lock. If you attempt to click “Request Lock” you will receive the following error message.

Home and Pipeline Screen Updates
To assist you with identifying loans that are ineligible to lock, the Home and Pipeline screens have been enhanced to display an icon as shown below. When you hover over the icon, it states “Not Eligible for Lock”.

In addition, there is a warning message on the Product & Pricing step that will advise you that the loan is not eligible for a lock request and that you must float the lock in order to proceed.

BrokerIQ will require you to complete the Products & Pricing step to float the loan that was previously optional. To complete the step, you will need to price out your loan prior to submission as follows:

1. Click on the “Float Loan” button to ensure you are selecting an eligible product/rate.
2. After clicking the Float rate button, Encompass will update and display a message that says “Thank you, your request is being processed” as shown below:

Post Submission:
Once your loan submission is completed and once the loan meets the milestone requirements, you will no longer see “Expired” pricing and will be able to request a lock.
Contacts
Please contact your Account Executive or Account Manager with any questions.
Carrington thanks you for your business.