VanDyk Mortgage News: June 12, 2024

June 12, 2024

• Pump Up The Volume: The Summer Remix

Summer is in full swing, and we are excited to Pump Up the Volume once again!  Final touches are being finessed and Outlook invitations have been sent to everyone for the 4 available sessions of Summer Remix.  Reminder to submit your topics for the Senior Management panel (last day to participate is 6/14) HERE.

If you have not already registered or are unsure if you need to, try logging in to the Fly In space VanDyk Fly In (vfairs.com) using your VanDyk work email address.  If you see the under-maintenance pop up, you are all set!  Otherwise, you will need to complete the registration.

• Verbal Script for Credit Authorization

It has come to our attention that a best practice to obtain verbal permission to pull a borrower’s hard credit had not been published.  We have added our best practice script for use in the regulatory compliance shared files of VDMC.net: Verbal Auth Script.pdf – VanDyk Seafile (vdmc.net)

Reminder, a written authorization is required prior to obtaining a soft pull, and all soft pulls MUST be completed in Floify.  Verbal permission is acceptable prior to obtaining a hard pull

If you have any questions, reach out to Production Support.

• VDM Employee Recognition

We’re proud to share shout-outs we’ve received for our team members!

• Mickie Gomez (Closing) received this praise from a title company: “Mickie is so wonderful to work with. She is so nice and great at communicating and I love that she answers the phone. Every Transaction is smooth when working with her.”
• Shyanne Steed (LO) received a STAR Award from Idaho Housing for her excellent service to homebuyers.

Great job Mickie and Shyanne! We are proud of how you represent VDM.

• Pre-Application Worksheet: Updated

The Pre-Application Worksheet – VDMC has been updated to list debts paid off as part of the transaction. This will carry in from the “Credit Cards and Other Debts Paid Off” field on URLA – Lender (section L4 – box E)

• Broker Updates
  • FAR – Reverse: FAR now offers a HomeSafe Second in AZ, CA, CO, CT, FL, SC, and TX. This second lien reverse mortgage helps preserve first mortgage rates and improves cash flow. Reach out to our A/E for more details: Kris Buglino, kbuglino@far.com
  • REMN HELOC: REMN has updated all of their training materials and information for their quick-close HELOC. We have updated the reference materials in the REMN HELOC folder in Seafile. You can also watch a recorded training here – you’ll need to enter your name and VDM email to access the recording. REMEMBER: You need an Encompass file with broker approval from Secondary in order to receive compensation on these loans.
• Technology Updates
  • Veri-Tax is now processing VOE orders in Encompass under the payroll cascade setup. As long as the borrower’s email address is listed on the URLA under “Home Email,” they will receive instructions on providing a payroll VOE to VanDyk, which can be imported into your Encompass file upon completion. Why the change? Look forward to income/employment validation options with Fannie AND Freddie within the next 60 days! For more details, see the attached Veri-Tax Breaking News email.
  • Halycon has announced that they’re in the process of integrating with DU for validation as well! More information to come.
  • SARMA has updated how we access their service in Encompass – see the attached Credit Outage email announcement for instructions.
• VistaPoint OB Update

Optimal Blue has updated the search filters needed to price Vista loans. Instead of the Standard product type, you will now need to select the Expanded Guidelines product type when pricing Vista HE loans. Check out the updated pricing guide here. As a reminder, you must complete the product certification in order to originate Vista Point HE Loans – you can find that training here.

• VistaPoint – Disclosure Desk Updates

Two new Integrity Check pieces are being released for Vista Home Equity Loans. It will ensure you are ordering Mavent whenever the APR changes on a loan so that the High Cost and State Rules will be reviewed in Mavent. If High Cost or State Rules are failing you will need to clear the fails to order disclosures. Any issues should be addressed with the Origination Compliance Department.

Reminder: A red alert on the left side of the screen will tell you when Mavent is picking up a High Cost or State Rule issue.

• aiUW: Required for Processing Milestone

Starting June 17, Encompass will require aiUW to be run prior to a file being moved to the Processing milestone.  If you need a refresher training, the job aid is here VanDyk Seafile (vdmc.net) or you can watch a recorded training here VanDyk Seafile (vdmc.net)

• Marketing Updates

The deadline to participate as a panelist for the Brittany Hodak workshop session of Summer Remix is XX/XX.  Don’t miss the incredible opportunity to work on your story and unique marketing angle!  Turn in your application by filling out this form. Those who complete the homework will be entered into a random drawing to be selected to participate in the workshop with Brittany. Come prepared to reignite relationships and redefine your story!

Reminder: AGENTS AND PARTNERS WANTED!  Don’t miss out on this amazing opportunity to extend a service of value to your partners and those whose business you are hoping to capture!  Brittany Hodak’s sessions and joining in on the Kahoot are great opportunities to strengthen relationships and create opportunity for conversation

• HR Updates

Welcome to our most recent new hires!  We are delighted to announce the following have joined our team.  Be sure to give them a warm welcome and log in to our Welcome to VDM (vfairs.com) site to “like” the photos they have added to the photobooth:

Agency Updates

Fannie Mae

Effective for DU casefiles created on and after May 19, the 2024 AMI limits are now in place.  You can access Fannie Mae’s AMI Lookup Tool here Area Median Income Lookup Tool (fanniemae.com)

Fannie Mae has issued Selling Guide Announcement SEL-2024-04 as of June 5, 2024.  From this SEL, we would like to highlight the following:

1. Effective Immediately: Closing Costs Definition – Amounts paid in connection with the closing, typically itemized under “Closing Costs Details” on the Closing Disclosure are generally inclusive of loan-related amounts such as origination fees, discount points, title exam, lender’s title insurance, appraisal fees, and prepaid items such as taxes and insurance escrow payments; and other costs, such as owner’s title insurance, real estate agent commissions, inspections, and transfer taxes.
2. EFFECTIVE JULY 20: HomeReady housing counseling LLPA credit requirements – HomeReady borrowers who complete housing counseling may be eligible for a $500 loan-level price adjustment (LLPA) credit when the loan is delivered with SFC 184.  The weekend of July 20, 2024, DU will be updated to provide new messaging when the data in the Supplemental Consumer Information (Form 1103) has been provided.  It is imperative that this section of the URLA Lender screen be completed as well as accurate.  The underwriters will then ensure that the SFC 184 is entered appropriately.  We are working on building out rules to aid in preventing any oversight.

Fannie Mae DU Updates COMING JULY 20, 2024, Highlights:

1. Potential Red Flag Occupancy Message – A new message will be issued to confirm the accuracy of the occupancy on the loan casefile.
2. Loan Application Data Validation Updates

In addition to the above-named announcements, we are also including a Year-to-Date Summary of 2024 from Fannie Mae that is inclusive of all updates since the beginning of 2024 (in case you missed it).

Freddie Mac

As with Fannie Mae, Freddie Mac has also updated the 2024 Area Median Income limits (AMI) (attachment Freddie Mac Bulletin 2024-C) effective with LPA submissions on and after May 19, 2024.  Freddie Mac offers a house of tools in relation to the AMI including the Home Possible® Income and Property Eligibility Tool, Area Median Income and Property Eligibility Tool, and Income Limits and Affordable Check APIs.

Freddie Mac has expanded the Warranty of Completion Alternatives to now allow use of Guide Form 400, Warranty of Completion of Construction or Repairs/Alterations, to now confirm not only completion of construction, but also for repairs.  You can find the updated Guide Form 400 attached to the news as well as in Seafile in the Appraisals folder.

Regarding Flood Insurance Premiums used for Qualifying – With rising rates of flood insurance, Freddie Mac is requiring that when the flood insurance policy shows a full risk premium and a discounted premium, we are to use the full risk premium, plus any fees and surcharges, for qualification in the DTI.  This is for both the subject property as well as any non-subject property REOs.

We are including Freddie Mac’s Loan Product Advisor June 2024 Release Notes as well as Freddie Mac’s Loan Product Advisor Feedback Messages June 2024 as attachments to the News.  There are multiple new messages coming in conjunction with the Property Data Report eligibility as well as processing errors.

FHA

Last month, we pushed out exciting FHA Updates as a Breaking News bulletin!  We have attached a quick comparison of old vs new guidelines to aid in all of the exciting changes.

USDA

We know that the USDA Procedure Notices are not always the easiest to read, so we are distributing the USDA Handbook Updates that occurred in April and May as a quick resource.

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Upcoming Events and Reminders

Miss a training? You’ll find our monthly newscast and Iron Sharpens Iron recordings in the VDM Vault. Department-specific trainings are shared in their respective Seafile folders.

Don’t forget: you can find invitations on our shared calendar under What’s Happening at VDMC.net (all times posted on the What’s Happening calendar are EST)

• Deal Desk: Every Tuesday at 1:30pm Eastern
  • Special Editions: June 18^th will cover USDA Manual UW. June 25^th is all about No Score loans!
• VanDyk Mortgage Newscast: Thursday, June 13 at 1pm Eastern
• Iron Sharpens Iron: Tuesday, June 18 @ 11am Eastern
• Production Roundtable: Wednesday, June 19  @ 1pm Eastern  REMINDER: ATTENDANCE IS MANDATORY for all LPs and TCs/LOAs who perform TC functions.

Additional Training Opportunities

• Freddie Mac has published their training offerings available in June and July. Check out the calendar here and enroll today!
• Radian is putting out “micro-learning” opportunities that can be watched at your own pace. Check out this Non-Traditional Credit episode and other episodes in the Unlocking Loan Solutions with Radian series.
• MGIC has several trainings available for June – check out the Variable Income training tomorrow (June 13) at 3pm eastern!

Bond Loans: Registration

Secondary is the only personnel that should be registering bond loans with the State Bond Authority. Please utilize the bond request forms here. If you have any questions, reach out to Secondary@vandykmortgage.com

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New Prospect? Assign Your Processor!

Best practice for brand new loans is to add your processor’s name right from the start.

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SmartFees Reminders

As a reminder, you can run SmartFees from Borrower Summary prior to ordering your initial disclosures.

You’ll need a login in order to run – ITHelpDesk@vandykmortgage.com can provide you with credentials.

Find a step-by-step how-to here!

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Duplicate Tradeline Reminder

We do not need a credit report supplement or alternate documentation when the credit report clearly identifies that two accounts are the same.

RC Willey, AMEX and Victoria’s Secret accounts commonly report this way. Note the same open date and terms reporting to different bureaus. Notate this on your Transmittal Summary.

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VA Retirement Asset Calculation

We reached out to VA to get clarity on what percentage of a retirement account can be used when utilizing a retirement account as reserves, since the handbook is silent.
We have confirmed that we may use the amount that is able to be withdrawn/liquidated per the Terms of Withdrawal.

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Chase Community Lending

For Chase Community Lending deals, all title holders must be included on the hazard insurance policy – even if they are not on our loan.

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Seafile Search – Check It Out!

Did you know you can search the Howee Shared Docs folder in Seafile? This will help you locate documents even if you’re not sure which department folder they’re contained in.

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