Over $330,700.00

TERM: Ten, fifteen, twenty or thirty years

Technical Details:

SUMMARY: Jumbo 15 and 30 Year Fixed Rate, fully amortizing mortgage loan. FULL/ALT DOC.

LOCK AVAILABLE: 15 or 50 Days

PRICING: Refer to daily Non-Conforming Fixed Rate Programs Pricing

ELIGIBLE PROPERTY TYPES:
• 1-4 family dwellings (detached, semi-detached or attached)
• Condominium units (1-8 stories: Class I, II or III warranties; over 8
stories: must meet Class III warranties)(condos over 8 stories are not eligible in most areas)
• Planned Unit Development units (PUDs) (FNMA Type E or detached Type F)
• Modular Homes (pre-cut/panelized/sectional housing - constructed
off-site, assembled on-site - must assume the
characteristics of site-built housing)

INELIGIBLE PROPERTY TYPES:
• Investment property • Cooperative units
• Time-share units • Manufactured/mobile homes
• Condo/Hotels • Working farms, ranches or orchards

LOAN AMOUNTS: MINIMUM: $50 over the maximum conforming loan limit
MAXIMUM: $1,000,000


Primary Residences
PURCHASE & RATE/TERM REFINANCE

1 unit (including low-rise condos)
LTV CLTV Maximum Loan Amount
95% 95% $300,000
90% 95% $400,000
80% 95% $650,000
70% 95% $1,000,000

2-4 units, mid- & high-rise condos
LTV CLTV Maximum Loan Amount
85% 85% $300,000
80% 85% $400,000
75% 85% $650,000
65% 85% $1,000,000

CASH-OUT REFINANCE
1 unit
LTV CLTV Maximum Loan Amount
75% 75% $400,000
70% 75% $650,000
65% 75% $1,000,000
Maximum cash back of $200,000



Second/Vacation Homes
PURCHASE & RATE/TERM REFINANCE
1 unit
LTV CLTV Maximum Loan Amount
85% 85% $300,000
80% 85% $400,000
75% 85% $650,000
65% 85% $1,000,000

CASH-OUT REFINANCE
Not Allowed

High-rise condos are eligible only in the following cities:
Honolulu, San Francisco, Los Angeles and Washington, D.C.

SELLER CONCESSIONS:

Primary Residences: LTVs > 90% Maximum 3%
LTVs < 90% Maximum 6%

Second/Vacation Homes: LTVs > 80% Maximum 3%
LTVs < 80% Maximum 6%

QUALIFYING RATIOS: 36% / 40%

APPRAISAL REQUIREMENTS:
• Existing property: appraisals should be dated within 120 days of the Note, or up to 180 days with a re-certification of value no more than 60 days old.
Construction-to-permanent: appraisals should be dated within 120 days of the Note, or up to 360 days with a re-certification of value no more than 120 days old.
• A minimum of 3 comparables (must be actual closed sales).
• Appraisals on new construction must have at least 2 comps from different builders other than the subject builder.
• Two complete independent appraisals -or- 1 complete appraisal and 1 field review with original photos are required for all loans above $650,000.
• Properties should be less than 10 acres unless excess acreage is common for the area. In addition, excess acreage contributing more than 30% of the property's value must be common for the area. Appraiser must make this statement on the initial appraisal and support with comps.

SUBORDINATE FINANCING:
• Term of not less than five(5) years, unless fully amortizing within a shorter period
• Must not be callable within the first five(5) years
• Must not allow for negative amortization
• Graduated or variable secondary financing may not allow for annual payment adjustments that exceed the lesser of a 2% interest rate increase or an 8.5% payment increase.
• 80-10-10 & 80-15-5 with no mortgage insurance - must meet all above guidelines plus the following:
• The combined LTV does not exceed 90% (80-10-10) or 95% (80-15-5)
• The first mortgage is not greater than 80%
• The mortgage is for a purchase or rate/term refinance
• The mortgage is secured by a single family primary residence
• A recorded subordination agreement is mandatory
• If subordinate financing is a home equity line of credit:
• Calculation of CLTV will include total usale line of credit
• If the line of credit calls for interest-only payments, a monthly P&I payment will be calculated that would fully amortize the current balance over five years at the interest rate currently in effect.
TRAILING CO-BORROWER: Up to 50% of the trailing co-borrower's income (averaged over the past 2 years) may be used if all of the following requirements are met:
• Co-borrower has a verified two(2) year employment history
• Co-borrower’s previous employment is readily marketable in the new location
• Co-borrower is not self-employed
• Co-borrower provides a letter stating intent to seek employment
• Six(6) months PITI in liquid reserves after closing
• Corporation-sponsored relocation
• Single family residence
• Co-Borrower's income does not exceed 33% of total qualifying income

GENERAL UNDERWRITING GUIDELINES:

All loans will be underwritten to current Mortgage Online at 425.com   Mortgage and investor guidelines.
1. Must submit original and two copy packages.
2. Full RMCR required with credit scores. All borrowers must have a 620 minimum credit score.
3. An original signed IRS Form 4506 is required for all borrowers at time of underwriting and a second original at closing. In addition, at closing the borrower(s) must sign an additional Form 4506 for each business owned.
4. A verbal verification of employment is required for all borrowers.
5. A minimum down payment of 5% is required from borrower’s own funds for both primary residence and second/vacation properties. The balance may be paid from cash, other equity, gift or subordinate financing. A down payment of 100% gift funds is allowed for LTVs of 80% or less; borrower’ must pay their own closing costs and subordinate financing is not allowed.
6. Gifts: gifts are allowed from immediate family members only - defined as parents, grandparents, children or grandchildren. Verification is required for the donor’s ability to provide the funds or the borrower’s receipt of the funds.
7. Two(2) months PITI in liquid reserves is required, exclusive of cash received at closing.
8. Use of business funds for cash to close or for reserves may be allowed on a case-by-case basis with a letter from
an independent accountant stating affect on the business of withdrawal or potential withdrawal of funds.
9. Debt consolidation loans are not allowed. Borrowers cannot pay-off debt to qualify.
10. Loans made to Non-Permanent Resident Aliens are not allowed.
11. Loans with non-occupant co-borrowers:
• Non-occupant co-borrower must be an immediate family member of the borrower.
• The occupant borrower's housing ratio cannot exceed 35%.
• Purchase transactions: the occupant borrower must have a minimum of 10% cash equity.
• Refinance transactions: the non-occupant co-borrower must have been an original purchaser of the property.
• Maximum loan-to-value of 90%
12. On all refinance transactions the "Details of Purchase" section must be completed.
13. Properties currently listed for sale, or listed within the past six(6) months, are ineligible for refinance.
14. Second liens and equity lines of credit must be seasoned for 12 months in order for pay-off to be considered as rate/term refinance. Documentation must be provided evidencing no draws in the last 12 months in excess of 1% of the new first lien amount.
15. Properties purchased within the past 12 months: (C)LTV will be calculated using the original purchase price plus the value of documented improvements or the current appraised value, whichever is less.
16. Construction-to-permanent loans treated as rate/term refinances will have the (C)LTV determined by an appraisal.
If the loan will be treated as a purchase, the (C)LTV will be determined by the lesser of documented acquisition cost or appraised value.
17. Commission/bonus income must be verified for two years. A two year average will be calculated and a year-to- year comparison must show stable or increasing income. Non-reimbursable business expenses will be deducted from income. Two years’ signed Federal tax returns are required.

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