THIS PROGRAM DOES NOT REQUIRE CALCULATION OF QUALIFYING RATIOS,
therefore the income must not be disclosed on the loan application or any other documentation
in the file, this includes direct deposits to bank statements. Any verification
of income would make loan ineligible and result in automatic denial. First time
home buyers may be allowed, refer to eligible borrowers section for details.
Borrowers must also have a SUPERIOR credit history.


PRICING ADJUSTMENTS: Refer to Daily Non-Conforming and Jumbo Price Schedule

ELIGIBLE BORROWERS: Employed (including self-employed) borrowers, retired borrowers. First time homebuyers are allowed however the current payments must be comparable to
proposed home ownership payments. NO PAYMENT SHOCK, NO EXCEPTIONS!

ELIGIBLE PROPERTY Single Family (attached or detached)
TYPES: 2-4 Unit (2-4 unit second homes treated as investment properties)
Low-rise (1-4 story) Condos (must be FNMA or FHLMC approved)
PUD's (must be FNMA or FHLMC approved)
Log homes and unique properties are available on a case-by-case basis
Manufactured /Modular Housing not allowed

STATE ELIGIBILITY: Allowed in all 50 states

LOAN AMOUNTS: MINIMUM: $75,000
MAXIMUM: $3,000,000

LTV LIMITATIONS:

Owner Occupied
Purchase & Rate/Term Refinance
LTV CLTV Max Loan Amount
*80% 80% $400,000
75% 80% $650,000
65% 70% $3,000,000


Cash-out Refinance**
LTV CLTV Max Loan Amount
75% 80% $300,000
75% 75% $400,000
65% 75% $650,000
55% 60% $3,000,000

Second/Vacation
Purchase & Rate/Term Refinance
LTV CLTV Max Loan Amount
75% 80% $300,000
75% 75% $400,000
65% 75% $650,000
55% 60% $3,000,000

Cash-out Refinance**
LTV CLTV Max Loan Amount
75% 75% $214,600
70% 70% $300,000
65% 65% $400,000
55% 65% $650,000
45% 50% $3,000,000

Investment Property
Purchase & Rate/Term Refinance
LTV CLTV Max Loan Amount
75% 80% $300,000
75% 75% $400,000
65% 75% $650,000
55% 60% $3,000,000

Cash-out Refinance**
LTV CLTV Max Loan Amount
75% 75% $214,600
70% 70% $300,000
65% 65% $400,000
55% 65% $650,000
45% 50% $3,000,000

**Maximum Cash Out: $100,000

*REQUIREMENTS FOR 75.01% - 80.00% LTV:
• Only available on single family properties and PUDs.
• Borrower may only own/finance one additional property and if an additional property is owned they must
execute an Occupancy Declaration.
• Borrower must have two(2) continuous years of employment with the same employer; or an established and consistent source of income for four(4) continuous years.
• Borrower must have minimum six(6) months reserves after closing.
• Employment must be stated on the application and verified verbally including name and position of person contacted for salaried borrowers or certification from CPA, regulatory agency, or professional
organization for self-employed borrowers.
• All assets are to be verified by two (2) months bank statements or written VOD.

TEMPORARY BUYDOWNS: Not allowed

QUALIFYING RATIOS: Not calculated

ASSUMPTION POLICY: Not assumable

SUBORDINATE FINANCING: Allowed per standard FNMA guidelines. CLTV cannot exceed maximums listed in LTV limitations section.

APPRAISAL REQUIREMENTS:
All appraisals require 2 sets of original photos. If older than 120 days from the note date, a rectification of value by the appraiser is required. Appraisals are valid for a maximum of 12 months. All appraisals must meet standard FNMA/FHLMC guidelines. All loans over $650,000 require 2 full appraisals; 1 by a Mortgage Online at 425.com   Mortgage approved appraiser
and 1 by an investor approved appraiser. Field reviews by investor approved companies may be required at investor discretion. Property values greater than $350,000 must include date and sales price of last sale regardless of last transfer date. Investment property appraisals must include operating income statements (FNMA 216) and rental survey (FNMA 1007).

GENERAL UNDERWRITING GUIDELINES:
• These loans do not require calculation of qualifying ratios. In this regard, the income must not be
disclosed on the loan application or on any documentation in the loan file, including automatic deposits to
bank statements. (LINES FOR INCOME MUST BE LEFT BLANK ON THE APPLICATION)
• Borrower is not required to sign 4506 and 8821.
• If currently employed, borrowers must have two(2) continuous years of employment with the same employer or be employed in a position in the same line of work deemed to be an advancement in career. If LTV > 75%, requires two(2) continuous years of employment with the same employer, or an established and consistent source of income for four(4) continuous years. If retired, borrowers must have a 2 year history of retirement.
If self-employed must have 2 year history in business.
• Borrowers must have a superior credit history.
All loans will be underwritten to FNMA, Mortgage Online at 425.com   Mortgage and Investor’s current applicable guidelines, unless otherwise stated.
1. Must submit original and two copy packages to JUMBO Underwriting Department..
2. Please allow one week for underwriting turnaround.
3. Pre-approvals are not allowed, must submit appraisal with original submission.
4. Taxes and Insurance Escrow account may be waived for 1/4% fee. Subject to underwriters review and approval. This option must be stated at time of locking in the loan.
5. Three repository, merged in-file credit report required from Equifax Mortgage Information Services with Safescan, Equifax Mortgage Credit Score (Beacon), Experian (formerly TRW) Credit Score (FICO), and TransUnion Credit Score (Empirica).
6. Mortgage Credit Standards:
Must have FICO, Beacon and Empirica scoring.
Borrowers must have "Perfect" credit as defined by:
• Primary borrower must have minimum credit score of 660. Primary borrower is defined as the
borrower contributing the largest portion of qualifying income.
• Minimum of 5 trade lines as reported by the major credit repositories. Credit histories with less than five trade lines may still be considered Perfect if the borrower has a satisfactory mortgage history
extending over the past two years.
• Minimum of 2 year credit history.
• No installment payments 30 days or more late in the last 12 months.
• No revolving debt more than 2x30 days late and no payments 60 days or more late in the last 24
months.
• No mortgage payments in the last 24 months 30 days or more late.
• No collections, judgments, liens, charge-offs or other derogatory credit items in the last 24 months.
• No bankruptcies or foreclosures in the last 7 years. NO EXCEPTIONS.
7. VOMs over 30 days old need to be verbally re-verified to current date. Re-verification must include:
a. Name of person re-verifying information.
b. Date of re-verification.
c. Updated information.
d. Name, title, and phone number of person contacted.
8. Gifts are not allowed.
9. First time home buyers are allowed however current payments must be comparable to proposed home ownership payments. NO EXCEPTIONS! No private investor mortgage histories allowed unless
reported on the credit bureau.

10. Six(6) months PITI required on all loans with LTVs => 75%, two(2) months liquid PITI required for loans with LTVs < 75%. Assets used for reserves must be liquid or easily liquidatable within 30 days.
Liquidation is not required for approval of the loan.
a. This is exclusive of any proceeds received from cash-out loans.
b. 70% of vested amounts in IRA's/Keogh may be used. Funds from a business account are not
eligible even if the borrower owns the business. NO EXCEPTIONS!
c. Funds must be verified via account statements for the 2 most recent months to document that the
borrower has an established personal savings pattern. Any unusual large lump sum deposits in
the most recent 2 month period may be excluded from the reserve requirement.
11. Non-occupant co-borrowers are not allowed.
12. For LTVs 75% and below: borrowers may own up to nineteen(19) other 1-4 unit properties that are financed. For LTVs 75.01% and above: borrower may own only one(1) additional property.
13. Only two financed loans per borrower on this program.
14. Construction-Permanent Loans: (Not to be used as the construction one-time closing loan but to pay off interim financing). If all proceeds of the loan are paid directly to the construction loan lender,
purchase LTV's are used. If the mortgagor receives any cash from the loan, or if the proceeds are not
paid to the construction lender, the transaction will be subject to cash out maximum LTV's. If property
owned less than 12 months, must document acquisition cost plus improvements. Property value used
to calculate LTV ratios is based upon the lesser of:
• Appraised value, or
• the land acquisition cost plus the fully documented cost of improvement construction.
15. Refinances - property value determination: for rate/term refinances, current appraised value; for cash out refinances, properties owned less than 12 months will be based on the lesser of appraised value or
acquisition cost, after 12 months the current appraised value will be used.
Lien seasoning: financing not part of the original purchase transaction is considered "cash out" until
seasoned at least 12 months.
Funds used to pay off an equity line of credit are considered "no cash out" if there have been no net
advances in excess of the greater of $2,000 or 5% of the equity line amount occurring during the past
12 months. Equity lines not meeting these requirements are considered "cash out" if paid off by our
loan, and as such must meet all "cash out" requirements.
16. Properties listed for sale within the last 6 months are not eligible for a refinance.
17. No loans to partnerships, trusts, or corporations. Title must be taken in the name of the individual
borrowers.
18. Satisfactory well inspection (potable and operable) required on all properties with wells. Inspections may be up to 12 months old.
19. Satisfactory septic (if applicable) required on loans with LTV's over 65%. Mandatory must be within last 12 months.
20. No escrow holdbacks.
21. Loans to non-permanent resident aliens are not allowed.
22. Trade Equity not allowed.
23. Non-arm's length transactions are not allowed. Non-arm's length transactions occur when a personal or business relationship exists between the mortgagor and builder or seller of the subject property.
Examples are: family sales or transfers; corporate sales or transfers; and mortgagors employed in the
real estate or construction trades who are involved in the construction or financing of the subject
property.

MORTGAGE INSURANCE: Not required

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