Bulletin W1281 – Update to FHA Streamline Process

September 25, 2012Bulletins

This bulletin announces significant changes to the way that we manage our FHA Streamline Refinances.

  • Effective October 1, 2012 all FHA Streamlines must have include the following documents:
    • FHA Transmittal – 92900-LT
    • Fully Executed 1003
    • Fully Executed 92900a
    • Evidence of SSN
    • Tri-Merged Credit Report with FICO Scores only and most recent 12 month Mortgage History
    • FHA Case Number Request Form
    • Current Payoff/Demand Statement (Demand Statement must over interest through the month that the refinance will fund in)
    • Mortgage Statement Coupon
    • Estimated HUD I or for Wet States a Broker Fee Worksheet
    • Two months Bank Statements (if cash to close is required)
    • Preliminary Title Report
    • Hazard Insurance Dec Page – Minimum 90 days remaining on policy /with CMS reflected on Loss Payee
  • FHA Streamline loans must be submitted by the published deadline cut-off date or they will be considered for the next month’s submission and will require a Pay-Off/Demand statement that reflects 60 days of interest
  • GFE errors must be cured within 24 hours of the submission cut-off deadline
  • The Pay-Off/Demand statement must reflect a Payment Due date for the month in which the loan will close
  • FHA Streamlines must locked at time of submission/lock must be good through the end of the month that the loan will fund in
  • Estimated HUD I must match the terms of the CMS lock
  • In order to eliminate the cash-to-close requirement the HUD I must be “zeroed out”. 
    • Demand fees can be paid with lender credit, however they must be included on the estimated HUD I
  • Government Streamline Submission Form has been updated and will be posted the website on 9/25/12

Download: Bulletin – #W1281 (PDF)

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