Category: Corporate Communications

October 16, 2025

Miss the newscast? Watch the recording here!

• Team Announcement: Welcome Tamara Range!

In case you missed it, we’re excited to share that an incredible talent has joined our VanDyk Mortgage Team — please join us in welcoming Tamara Range, our new Closing Manager! Tamara brings valuable experience and a passion for excellence to our operations, and we’re thrilled to have her on board.

Please feel free to reach out and say hello — she’s eager to connect and collaborate with everyone!

• Update to Flood Cert Automation

To reduce the number of duplicate flood certifications caused by the automation being inadvertently triggered, we will be transitioning the Flood Automation from a fully automated (“lights out”) process to a user-triggered one. This change will be active starting tomorrow (Friday, October 17).

With this change, the Flood Automation will no longer be activated based on the subject property address. Instead, it will be initiated by a checkbox on the Web Service Order Form pop-up window. Users can simply check the designated box and exit the file to trigger the Flood Certification automation. The flood cert will be ordered automatically within minutes of exiting the file.

Note that flood certifications can still be ordered manually through the Services Tab, if preferred. The automation can also be initiated by selecting the checkbox in the new pop-up window on the Borrower Summary screen.

• Closing Department Update: Rush Requests

Effective immediately, all rush (same-day) requests within the Closing Department must be directed to Tamara Range, Closing Manager.

This includes:

• Rush Initial CDs
• Rush COCs (Change of Circumstance)
• Rush Closing Documents
• Rush Fundings

Centralizing these requests through Tamara will help us identify process bottlenecks, streamline communication, and improve overall efficiency in our closing operations. Thank you for your cooperation and attention to this change!

• Process Update: Power of Attorney and Trust Closing Reviews

Effective Immediately, we are implementing a new process for the review of documents for loans closing with a Power of Attorney (POA) and/or in a Trust.

Going forward, the Underwriter will be responsible for reviewing and approving these documents directly within Encompass.

Process Steps

1. Within the Closing Request – VDMC screen:
   • As soon as the branch is made aware that a loan will be closing under a POA or in a Trust, the following fields must be completed accordingly.
2. Document Uploads:
   • All supporting documents must be uploaded to the eFolder in the appropriate buckets.
     1. 8000 (Title): Power of Attorney (POA), or
     2. 8000 (Title): Trust Documents

3. Underwriter Review:
   • The Underwriter will review the documentation and add conditions related to the Power of Attorney as applicable for both Underwriting and Closing.

Resources

Reference materials outlining the requirements for closing with a POA or in a Trust will continue to be available in Seafile.

• Reminder: Appraisal Quality and Value Concerns

We are seeing an increase in appraisal quality issues and value-related concerns. Please review the following reminders and best practices to ensure proactive communication and timely handling.

Delivery to Borrower

• Appraisals are automatically delivered to the borrower(s) within three (3) business days of receipt.
• It is best practice to have a conversation with all parties before the appraisal is received to explain:
  • They will receive a copy of their appraisal
  • They have the right to review and dispute any concerns.
  • The appraisal must still undergo underwriter review, and if risk factors are present, the value may be adjusted.
  • You (Loan Officer) will remain in communication until the appraisal has been final approved by the Underwriter.

When to Resubmit to Underwriting

• Immediately resubmit the appraisal to underwriting.
• Potential issues can be identified by reviewing the SSR (Submission Summary Reports) from Fannie Mae and Freddie Mac.

Examples of Red Flags

• High risk scores
• Overvaluation notations or warnings

Timely communication and resubmission help ensure accurate valuation, reduce rework, and maintain a strong client experience.

• 2026 License Renewals: Con Ed Information

As a reminder: all LO state licenses expire on 12/31/2025 – if you want to maintain your license(s) and renew for 2026, you must complete your Continuing Education before your renewal can be submitted. Please see the attached email reminder from Stacey Dettling regarding license renewals.

• Reminder: Brokered Loan Policy and Mortgage Loan Broker Agreement Requirement

As a reminder, on 10/1/2025 the updated Brokered Loan Policy went into effect. As part of this policy, the Mortgage Loan Broker Agreement is required to be uploaded at the time the brokered loan request is sent to Secondary. Please see this how-to for generating the form.

You’ll notice the Brokered Loan Request has been updated to include the requirement for the broker agreement form. We appreciate your help staying compliant with brokered loans!

• Pipeline Power-Up 2.0 Update

Pipeline Power-Up 2025 is in full swing, and there’s still time to jump in and catch up! If you haven’t started yet, you can use the new Bonus Survey to bank points you missed and stay in the running for our weekly, monthly, and creative prizes! Join us on Origination Nation every Monday at 12 PM EST with any questions.

• Marketing Updates
  • New content: FHA 203(K) Purchase Checklist flyers, Fannie Mae Plaza HomeStyle flyers, Safe Approval flyers, and Click n Close OTC and DPA flyers
  • Holiday Cash-Out Campaign is currently running biweekly on Wednesdays to past client databases until mid-December
• HR Updates

As Halloween approaches, it’s time to unleash your creativity and get into the spooky spirit! We’re excited to announce our Halloween Decoration Contest, where you can showcase your decorating skills for a chance to win some fun prizes! Upload your entries here by 5pm on Friday, October 31!

 

Performance Review Update: If you missed HR’s Performance Review Training, please see the attached email for reference materials. Reach out to HR@vandykmortgage.com with any questions!

Protect Yourself Against the Flu: Cold or flu? A cold comes on slowly with a sore throat, congestion, and mild aches. Flu hits suddenly with a high fever, severe body aches, and fatigue. Colds usually improve in a week, while the flu can last longer and may need antiviral meds. To stay healthy, wash your hands, avoid touching your face, and get the flu vaccine. If you’re unsure or symptoms worsen, contact your doctor. Stay informed and take action to keep yourself well!

• New Hires & Rehires: Welcome!

Jared Landez – Sales Assistant, Branch 488

Tamara Range – Closing Manager, Corporate

Scott Elgas – Loan Partner, Branch 131

Apryll Geib – Administrative Assistant, Branch 586

 

 

Agency Updates

Fannie Mae

Fannie Mae has announced the following updates to their selling guide:

1. Amended our rental income policy to allow income from an ADU to be considered towards qualifying income provided all the following requirements are met:

• The property must be a one-unit, principal residence and is limited to purchase and limited cash-out refinance transactions.
• The rental income may only be derived from one ADU even if multiple ADUs exist.
• The amount of rental income used for qualifying purposes from the ADU is limited to 30% of the borrower’s total qualifying income.

1. Rental Income reported on a Partnership or S Corporation

1. • When the borrower receives only rental income reported on the Schedule K-1, lenders must obtain the most recent one- year federal business income tax return for rental income reported on Form 8825. This aligns with documentation requirements for rental income reported on Schedule E for individual borrowers
   • Additionally, all rental income reported on partnership or S corporation returns using Form 8825 will now be classified as self-employment income, regardless of the borrower’s personal obligation on the associated mortgage
   •  If the related property is reported on the most recent federal business tax return and it’s clear the business is responsible for the payment, the full PITIA can be excluded from the DTI calculation.

1. Revised the amount of cash back allowed on all limited cash-out refinance transactions. The amount of cash back that may be provided directly to the borrower (or other recipient) may not exceed the greater of 1% of the UPB of the new loan or $2,000.

 

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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 @ 1:30pm Eastern
• Origination Nation: Every Monday and Thursday @ 12:00pm Eastern
• VanDyk Mortgage Newscast: Thursday, October 16 @ 1:00pm Eastern
• Iron Sharpens Iron: Tuesday, October 21 @ 11:00am Eastern
• Production Roundtable: Wednesday, October 22 @ 1:00pm Eastern

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25 Points

September 18, 2025

• Loan Officer University

We’re excited to share an upcoming development initiative for our sales team – more details will be coming soon, but look forward to these upcoming dates:

• 11/01 LIVE for New Hires: For Branch Managers who have inexperienced originators and want a plan to thrive
• 01/01 Phase 2: Built for $5-15 million producers in a group setting twice a month on actionable strategies
• 03/01 Phase 3: Built for $15 million and up producers or branches for strategy sessions to expand.

• Updated Soft Pull/Hard Pull Timelines

To help ensure smooth closings, please note the updated timelines for hard credit pulls to be completed:

• Purchase Transactions: Hard credit pull must be completed at least 7 days prior to closing (unless extenuating circumstances apply).
• Refinance Transactions: Hard credit pull must be completed at least 5 days prior to closing, or at the time of CD request.

Sticking to these timelines will help us avoid last-minute delays and make the process easier for everyone involved.

• Click n Close: New DPA Provider

We are excited to announce that we have partnered with Click n Close for a National DPA provider. Attached is the program matrix in preparation for the call.  Please join us for a sales training 9/24/2025 at 2pm EST. Training invite will hit inboxes soon.

• Redwood Closed End 2nds

Last month we added an additional Closed End 2nd lender, Redwood. Next Month we are going to host Redwood for a training on this new offering. Please join us on Wednesday, October 8 at 3pm EST – invitations will be sent soon!

• Brokered Loan Policy

We have updated the Brokered Loan Policy, effective October 1, 2025. Please review the policy here. Updates include reminders to upload all documentation provided to the lender, ensuring loan is in Encompass and approved by Secondary within 1 business day of registration with the lender, and ensuring timely completion of the Mortgage Brokerage Agreement for states which require this form.

• Conventional Appraisal Flexibilities Reminder

In the current lending environment, conventional files can benefit from several valuation options beyond the traditional full appraisal. Choosing the right option—and clearly communicating expectations to borrowers and Realtors—is critical for a smooth process. Check out the Conventional Appraisal Flexibilities Comparison Chart and the Conventional Appraisal Cheat Sheet and review details of these products below.

1. ACE / Value Acceptance

• What it is: A finding from DU or LPA that accepts the stated value with no inspection or third-party validation.
• When to use: This is the ideal outcome—fast, free of additional requirements, and the most cost-effective option.
• Communication tip: Confirm with the borrower that they are comfortable proceeding without third-party validation of the property’s value.

2. ACE / Value Acceptance + PDR

• What it is: The AUS accepts the value but requires a Property Data Report (PDR) inspection to confirm property condition.
• When to use: A great option when available—low cost and typically faster than a full appraisal.
• Communication tip: Immediately explain to the borrower and Realtor that an inspector (not an appraiser) will need quick access to the home, and scheduling should be prioritized to avoid delays.

3. Desktop Appraisal

• What it is: A licensed appraiser provides a valuation based on MLS data and public records. No physical inspection occurs, but a floor plan must be provided.
• Key detail: If the appraiser must obtain the floor plan themselves, the desktop option is voided and a full appraisal is triggered.
• Communication tip: Work with the Realtor or borrower to provide a floor plan up front—via realtor-created drawings, prior appraisal sketches, or a CubiCasa scan link can be sent to the borrower/Realtor. Setting expectations here prevents delays.

4. Hybrid Appraisals

• What it is: A bifurcated process where a trained inspector gathers data and photos, which are then reviewed by a licensed appraiser who completes the valuation.
• When to use: Best suited for markets experiencing extended appraisal turn times. Currently, with stable timelines, this product is not cost-effective.
• Communication tip: Only introduce this option if turn times worsen; otherwise, borrowers and Realtors may be confused as it doesn’t save cost.

 

Key Takeaway: Communication is Critical

No matter which valuation method is used, your role is to set clear expectations with both borrowers and Realtors. Make sure they know:

• Who will be coming to the property (inspector vs. appraiser).
• What information is being used to determine value.
• Why the chosen method is appropriate (cost, speed, AUS finding).

Proper communication prevents surprises, builds trust, and ensures smoother closings.

• Marketing Updates

Exciting news! Pipeline Power-Up 2.0 officially re-launches on October 1st!

This next-level version is designed to bridge the gap between marketing and sales with one clear purpose: driving real monetization for you and your business. As we head into Q4 and prepare for 2026, it’s the perfect time to set goals with your sales leaders and branch managers—and strengthen your Total Expert skills with Adam during daily office hours.

What’s new? We’re rolling out integrated surveys that let you track your progress, view your completed tasks, and measure your momentum throughout the year.

We’re thrilled to bring this program back, and we can’t wait to watch the results you create with Pipeline Power-Up 2.0!

• HR Updates

Hylant’s monthly Live Well, Work Well newsletter is available for your review here. September’s issue covers emergency preparedness, sun safety, and “September Scaries.” Check it out!

We’d also like to share the Mental Health Minute newsletter. We all know in times of physical distress, we call 911. But, what about times of mental distress? Did you know you can call 988, the Mental Health Crisis Hotline? When you call this number, you’ll be connected to one of about 200 local call centers. Trained counselors will listen, provide support, connect you to community resources, or dispatch emergency services if necessary. If local call centers are busy, you’ll be automatically directed to a national backup center. Someone will answer.

• New Hires: Welcome!

Denise Taylor – Loan Originator, Branch 204 (Rehire)

Christina Candalot – Underwriter, Corporate

Marcelino Mancha – Loan Originator, Branch 131

Rosie Camou – Loan Originator, Branch 259

Collin Anderson – Sales Assistant, Branch 401

 

 

Agency Updates

Fannie Mae

Fannie Mae has passed along the following updates in SEL-2025-07:

• The term “Appraisal Waiver” will be retired and replaced with “Value Acceptance”
• The requirement for an initial ROV disclosure has been removed
• MH Advantage product now allows for single-wide Manufactured Homes (to align with Freddie Mac)
• Clarification that a life estate is an eligible form of ownership, as long as the life tenant is a borrower

 

Freddie Mac

Freddie Mac has shared the following updates in Bulletin 2025-12:

• The LTV on 2-4 Unit Primary Purchase and No Cash Out refinance transactions has been increased to 95% (to align with Fannie Mae).
• The requirement for an initial ROV disclosure has been removed.

 

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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 @ 1:30pm Eastern
• Origination Nation: Every Monday and Thursday @ 12:00pm Eastern
• VanDyk Mortgage Newscast: Thursday, September 18 @ 1:00pm Eastern
• Production Roundtable: Tuesday, September 16 @ 3:00pm Eastern (Check out the recording and notes here if you missed it)

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In-House NonQM

When ordering an appraisal for an in-house NonQM loan, please notate this in the order notes. Our investors have exclusionary lists that the appraiser needs to be checked against – so please notate the investor in your order notes. We appreciate your help so this doesn’t get missed!

25 Points

August 14, 2025

• Welcome to the Family: Baby Kuhnle

Congratulations to Lindsey Kuhnle and her family and their new addition: baby Lylian Denise arrived July 25!

• It’s the Final Countdown… to Fly-In!

We are just a week away from our 2025 Fly-In: Power Up Your Business! From our sponsors and our industry experts to our incredible sales team and staff members joining us from across the country, this is one you won’t want to miss.  If you haven’t already, please make sure to RSVP directly to Brittany Dunkle so that we can add you to our headcount.

• New Brokered Construction Outlet: Click n Close

We are pleased to inform you that Click n Close has been added as a One Time Close Construction outlet for Government and Conventional transactions. They have been added to the broker comparison sheet.

Join us for Sales Training on Monday, August 25 at 12pm Eastern – watch your inbox for the invitation!

• Appraisal Reviews

Please remember to resubmit your loan file to Underwriting as soon as the appraisal is received. We have been experiencing delays in closings due to appraisal issues that could have been addressed earlier if reviewed promptly.

Your immediate action will help us avoid unnecessary delays and ensure a smoother closing process. Thank you for your attention to this matter!

• Seafile Updates

You may have noticed changes in the Seafile interface – we will be updating any existing job aids to reference the new look and functionality. The “Preview” feature has been intermittently available for docs – you are able to click the “Download” icon in the interim until this is fully functional.

If you’ll be joining us at Fly-in next week, we will be discussing Seafile during the “FAQ Fuel” breakout session. If you miss that, we will be hosting another training the week of August 25. Please watch your inbox for an invitation!

• Itemization of Credits

To improve transparency around the Fees and Credits shown on a borrower’s final Closing Disclosure (CD), we will begin including a new document in all final closing packages: the 2015 Itemization of Costs and Credits. This document provides a clear breakdown of all Borrower Fees, Seller Obligated Fees, Seller Credits, and Lender Credits, organized into easily understood categories. Our goal is to make it easier for borrowers to identify specific credits and better understand their fees, reducing the number of questions at closing.

This document can be added to your closing packages immediately upon request from your closer and will be automatically included in all packages starting September 8, 2025. Attached you’ll find a copy of the new document.

• LoanCare Payoff Request Instructions

There are 2 ways to obtain a payoff on one of our loans being serviced by LoanCare:

The first and preferred method is to email your request to Clientpayoffprocessing@myloancare.com with the requested good through date.

• If a netted escrow payoff is desired, that must be noted in the request or a standard payoff will be provided.
• If you have an urgent request, you can include Amber Snook amber.snook@loancare.com and our own internal servicing operations team servicingoperations@vandykmortgage.com on the request and she can help escalate it on their end.

The second option is to request it through LoanCare’s website at VanDyk Mortgage Corporation – Third Party Payoff this option will likely require third party authorization be uploaded. Download the form for third party authorization here.

• Sarma and DataVerify EPC Credit Ordering

As a reminder, we should be using the EPC version of Sarma and DataVerify at this time. You will no longer see the “old” options in Encompass starting on Monday, September 8.

If you missed our training on the updated Sarma EPC interface, please check out the recording here. A how-to guide for Sarma EPC is available here. A how-to guide for DataVerify Fraud and SSA Verifications is available here. Reach out to ProductionSupport@vandykmortgage.com with any questions.

• House Bill Update: The Good, The Bad, and The Ugly

H.R.2808 – Homebuyers Privacy Protection Act
If signed, this bill will limit the sale of trigger leads, impacting how lenders, brokers, and servicers compete for borrowers. Expect servicers to ramp up direct solicitations, making database control and timely consumer outreach more important than ever.

What it means for lenders & branches:

• Get intentional with your database: Clean up records, secure consent, and optimize credit-pull notifications now.
• Soft Pulls: Let’s review policy for submissions in this space so we can offset the cross sell timeline and opportunity since this could be more competitive in 2026 for clients. The individuals reaching out or buying their information would have a direct relationship, a client for life mentality and communication should be adopted.
• Act before rates drop: Competitive scenarios will heat up, and speed to consumer will matter.
• Recruiting opportunity: With lead sources shifting, now is a smart time to connect with brokers—especially those at NEXA-style or franchise models—before their pipelines are disrupted.
• Ask the right questions: When onboarding recruits, clarify their current lead types and ensure your marketing investments align with their production expectations since some of them may not be viable without these leads.
• Celebrate! This is a long time win but will need us to be strategic in our approach with closed and future clients as well. More to come on this before the end of month!

The bill is still pending—follow its progress and be ready to adjust when signed here: Text – H.R.2808 – 119th Congress (2025-2026): Homebuyers Privacy Protection Act | Congress.gov | Library of Congress

• Marketing/Sales Teams Channel Launch

Marketing has been launching new collateral, and we want to keep our sales team up to date! Starting August 14^th, we will be repurposing our “Marketing and Sales” Team Channel to use as a marketing launch space. We will update our sales team as soon as materials are uploaded to Total Expert and Seafile. Want to join in on the fun? Use this link to get added: General | Marketing and Sales | Microsoft Teams

• HR Updates

401(k) Information – Plan for Your Future

We’d like to bring to your attention the updated 401(k) Highlights Sheet, which includes a QR code on page 2 for easy access to valuable resources.

Venrollment.com is a new platform used by our plan’s financial advisor, Rockefeller, to give participants more tools and information about the VanDyk Mortgage 401(k) Plan. Through the QR code link, you’ll find:

• Contact information for Principal (record keeper) and Rockefeller (plan advisors)
• Short videos and educational materials to help you understand your plan and investment options
• The ability to schedule a virtual 1-on-1 meeting with a Rockefeller Private Advisor to review your personal retirement goals

Whether you want to learn more about the 401(k), adjust your contributions, or review your investment strategy, we highly encourage you to scan the QR code and explore the tools available to help plan your future retirement.

🌿 Live Well, Work Well – Taking Care of Yourself During National Wellness Month

August is National Wellness Month, a time to focus on self-care, building healthy habits, and supporting your physical, mental, and emotional well-being.

Whether it’s adding more movement to your day, making time for rest, or exploring stress-reducing activities, small changes can have a big impact.

📄 Learn more here: National Wellness Month Resources

 

• New Hires: Welcome!

James Butcher – Business Development Associate, Branch 545

Brenda Estrada – Loan Originator, Branch 265

Melissa Eligul – Loan Originator, Branch 265

Ralph Kies – Business Development Associate, Branch 261

 

 

Agency Updates

Freddie Mac

Freddie Mac has updated their Guide to allow Mortgages to be secured by single-wide CHOICEHomes. The construction elements for single-wide CHOICEHome must include:

• A covered porch (minimum 72 sq. ft.), and
• An attached carport/garage (space to accommodate one or two cars) built with materials and finishes equivalent to the primary structure

 

USDA

USDA has made the following updates to their handbook:

• Ch 4 Lender Responsibilities:
  • Revised the conflict-of-interest guidance to clarify that only employees that have a direct impact on the mortgage transaction (underwriters, appraisers, inspectors, engineers, etc.) are prohibited from having multiple sources of income from a single Rural Development transaction.
• Ch 9 Income:
  • Clarified taxable income for housing allowances should be included in annual income.
  • Added guidance for verifying previous employment.
  • Clarified IRS Form 8821 is an acceptable method to request IRS tax transcripts.
  • Clarified the number of household members must be identified in GUS.
  • Added direct third-party verifications to the options for verifying assets.
  • Clarified reserves entered into GUS must not exceed the balance on the most recent official monthly bank statement, however lenders may choose to use a lower balance at their discretion.
• Ch 10 Credit:
  • Clarified multiple Verifications of Rent may be combined to make up the required 12 month history when no gaps exist.
  • Combined the disputed accounts guidance into one section.
  • Clarified the credit report for a non-purchasing spouse is maintained in the lender’s permanent loan file.

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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 @ 1:30pm Eastern
• Origination Nation: Every Monday and Thursday @ 12:00pm Eastern
• VanDyk Mortgage Newscast: Thursday, August 14 @ 1:00pm Eastern
• Production Roundtable: Tuesday, August 19 @ 3:00pm Eastern

25 Points

June 18, 2025

• NonQM

We have officially closed our first bank statement loan in our in-house non-QM pilot program. This loan was saved from a broker after they were unable to close on the Rural property status. From first contact to close, this only took 10 days. Obviously, that is far from the norm on these, but controlling the process certainly has its benefits.

Over the next couple weeks, Patrick Sheedy is going to start reaching out to some of our top producing non-QM Loan Officers and add them to the pilot. We are still putting finish touches on our NonQM offerings, but should be ready sometime in July for everyone to start offering these products.

• Prism Update

We will soon be launching the new version of AiUW and PRISM income calculations, now known as PRISM Clear Suite. This enhanced suite retains the familiar AiUW and PRISM income functionalities, while allowing for future enhancements surrounding Indexing and OCR functionality for loan documents.

With the upgrade to the PRISM Clear Suite, our pricing structure has also changed. We are moving from a per run model to a per funded loan model. This change allows for broader use of the platform without concern for individual run costs. As a result, we now encourage users to run the PRISM Clear Suite on every file in your pipeline to fully leverage the value of these tools.

• Vista Point Home Equity Loans – Appraisals

When ordering an appraisal for a Vista Point HE Loan, please notate in your ValueLink order that it’s for this lender. Vista Point has an exclusionary list similar to Chase and Nexbank, so it’s important to note this in your order for these investors.

• Total Expert Update: HUD Approved Milestone

When your loan reaches the HUD Approved milestone prior to closing, Total Expert will be sending out an email with a video that demos the e-signing process for borrowers. The subject line will read “Ready to eSign? Here’s What to Expect.” See an example of this email below:

• Broker Comparison Chart – Where?

We’ve recently added a few more links to the Broker Comparison Chart to make it even easier to find. You can find a link in the “Need help? Who to call” post on VDMC.net,

There is also a link in Seafile – navigate to Howee Shared Docs > Products and Programs > Brokered Loans. Or just start searching in Seafile and it will pop up:

• Sarma Soft Pulls: Exciting AUS Update!

We can now run a Sarma soft pull through DU for FHA and VA files. Just be sure to update the DU submission screen to show your soft pull Sarma username and password, otherwise DU will not run:

• Sarma Credit Ordering

Speaking of credit… next month, we will be hosting a training on the updated ordering process for Sarma. This will be an updated workflow for both hard pulls and soft pulls. The trainings will be held Wednesday, July 9 at 3pm ET/12pm PT and Thursday, July 10 at 2pm ET/11am PT. Please watch your inbox for an invitation!

• If you are currently using Xactus for your credit reports, you do not need to attend. This training is specific to Sarma credit reports.

• Fly-In – Coming Soon!  

Spots are filling up fast!  Don’t miss your chance to connect with your VanDyk Mortgage crew, power up your knowledge and skills, and take your business to the next level – RSVP and book your hotel room for the 2025 VanDyk Mortgage Fly-In!

• RSVP Here
• Book Your Hotel Here

There also is a Fly-In tab located on www.vdmc.net with details. Reach out to the Marketing team if you have any questions.

• New Hires and Rehires: Welcome, and Welcome Back!

Stacey Duncan – Chief Production Manager, Corporate

Erik Voss – Production Optimization Manager, Corporate

Ashley Wiggins – Processor, Branch 350

John Dillon – Branch Manager, Branch 350

Alyssa Meyer – Loan Originator, Branch 350

Charlie Shelton – Loan Originator, Branch 350

Karen Suhre – Closer, Corporate

Carey Krein – Processor Assistant, Branch 586

 

Agency Updates

Freddie Mac

Freddie Mac is removing the requirement for W2s when documenting income for Military base (basic) pay and Military entitlements. Only a YTD Military Leave and Earnings Statement is required. Note that 1-year W2 is still required for those in the Military Reserve of National Guard.

In addition, FAQs have been enhanced for easier access on Freddie Mac’s website – check them out here: https://guide.freddiemac.com/app/guide/faqs

Fannie Mae

Fannie Mae has clarified in B2-1.3-02, Limited Cash-Out Refinance Transactions and B5-6-01, HomeReady Mortgage Loan and Borrower Eligibility: for limited cash-out refinances with LTV, CLTV, or HCLTV ratios of 95.01% – 97%, that when DU is able to identify the borrower’s existing loan is owned (or securitized) by Fannie Mae, the lender may rely on the DU finding as documentation for this requirement. There is no longer additional documentation required to be validated.

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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 @ 1:30pm Eastern
• Origination Nation: Every Monday and Thursday @ 12:00pm Eastern
• Production Roundtable: Wednesday, June 18 @ 2:00pm Eastern
• VanDyk Mortgage Newscast: Thursday, June 19 @ 1:00pm Eastern

 

LLPAs in Polly

Did you know you can see LLPA adjustors in Polly?

When running pricing in Polly, you can click the down arrow next to rates to open up the LLPA’s.

You can also click on Blue Hyperlinks to open the full LLPA matrix.

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Non-Borrowing Spouse in Community Property State

As a reminder, we can use a tri-merge soft pull to verify the liabilities of a non-borrowing spouse in a community property state.

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Product Certification: Training Opportunities

ADP houses required training for certain products, such as in-house Renovation loans, HE loans, and Buydown programs. These all have unique requirements outside of our typical agency loans, so if you are looking to originate one of these loan programs – make sure you’ve taken the training first. Email ProductionSupport@vandykmortgage.com to get enrolled, or you can self-enroll in ADP by clicking on the Myself tab, then navigating to My Learning.

Click on Browse by Topics, then pick the Production Certification group and Enroll in the course(s) of your choice.

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25 Points

May 22, 2025

Find the recording of this newscast at the VDM Vault.

• Recent Cybersecurity Threat

In case you missed this morning’s email: VanDyk has recently been targeted by a new cybersecurity attack. This new attack vector involves a coordinated attempt to overwhelm an employee’s inbox with hundreds of unsolicited emails, newsletters, and password reset requests over an extended period.

Following this disruption, the attacker may attempt to contact the employee via Microsoft Teams, impersonating a member of the VanDyk IT Department. The message typically claims the need to adjust mail filters to stop the influx of SPAM. These impersonators have used various names and always present themselves under generic titles such as “IT Department” or similar. As part of the ruse, they may request to remotely access your computer using Windows Quick Assist in order to “resolve” the issue—this is a key tactic used to gain unauthorized access to your machine.

Please be alert for two key warning signs:

1. The Teams message originates from a generic group name rather than a specific, known team member.
2. The sender’s name is marked with “(External)” – indicating they are outside our organization.

Important Reminder:

VanDyk IT will never contact you via an external Teams account, and we will never use generic accounts to initiate communication. If you receive a suspicious message, please cross-check the sender’s name in the company intranet directory and, if in doubt, start a new message thread in Teams to verify the individual’s identity.

Your vigilance is vital to keeping our systems secure. If you receive a suspicious message or experience anything unusual, report it immediately to ITHelpDesk@vandykmortgage.com and don’t forget to utilize the Report Phish or SPAM button within Outlook.

• Plaza Home Mortgage – Renovation

Just a reminder that Plaza’s 203k and Homestyle products are available in-house now! Find resources on these loans here in Seafile. As a reminder, we require training to be completed prior to originating these renovation loans. Reach out to Production Support to get this training assigned in ADP if you haven’t already completed.

• Inactivity Policy for Commissioned Employees

Please see the Inactivity Policy, which establishes the requirement for consistent paid activity to maintain active employment status.

• Appraisals Sent to Borrower

Great news: ValueLink will now send a copy of the appraisal to the borrower automatically within 3 days of completion.

• Appraiser/LO Communication

With our recent transition from our internal Appraisal Management System (AMS) to Valligent, we have experienced an increase in reports indicating direct communication between Loan Officers and appraisers.

Please be reminded that such communication is a direct violation of the Appraiser Independence Requirements (AIR). These regulations exist to protect the integrity of the appraisal process, and non-compliance can carry serious consequences for both the loan and the organization.

In our discussions with Valligent, it has been made clear that any indication of direct contact between a Loan Officer and an appraiser will necessitate the ordering of a brand-new appraisal. This not only creates additional costs but may also result in significant delays to loan closings.

To prevent disruption, it is critical that all communication with appraisers is routed through the proper channels. If you have questions about how to facilitate appraiser contact, please reach out to appraisals@vandykmortgage.com.

Thank you for your attention to this matter and for your commitment to compliance.

• Loan Status Updates: Withdrawals/Denials

In case you didn’t know: you can update your loan status from the “Update Loan Status” button on the Borrower Summary – VDMC form.  Here are some additional reminders and best practices:

• • A loan cannot be withdrawn based on communication from anyone but the borrower. In addition, we must wait 30 days to withdraw.
  • Loans cannot be denied without income documentation and a review by our Underwriting management team. If a loan hasn’t been sent to underwriting or is NOT under contract, best practice is to withdraw instead of denying.
• Product Matrix Updates

We have made updates to several of our matrices!  Minimum FICO requirements for FHA Streamlines as well as VA IRRRLs has been lifted and we have expanded debt to income ratios for VA Manual UWs!  Check out all of the exciting updates here.

• Coming Soon: Update to Sarma Credit Ordering

For those who use Sarma for credit, soon we will be launching a new interface in Encompass for credit orders. Watch your inbox for a training invitation!

• In Case You Missed It

Here’s a rundown of communications that we’ve sent since the last News:

• • USDA Manufactured: For the first time ever, USDA financing is now available for existing manufactured homes – not just new ones!  And it’s available in all states where the property meets USDA eligibility requirements. See more details in the email sent Wednesday, May 7.
  • Virtual Inspections: Valligent provides a Virtual Inspection solution for these products, which is approved for use with Fannie Mae, Freddie Mac, and FHA financing. These virtual options offer a faster turnaround time and are available at a lower cost compared to the traditional 1004D and FEMA inspections. These can be ordered through Valuelink.
• Exciting Growth Ahead – Please Welcome Patrick Sheedy!

We’re thrilled to share that BIG things are coming over the next few months! We’re in the early stages of bringing Non-QM Bank Statement and DSCR products in-house — a major step forward for our growth and capabilities.

As part of this initiative, we’re excited to welcome Patrick Sheedy to the team! Patrick brings many years of expertise in the Non-QM space and will play a key role in building out a successful path forward.

While we’re still a bit away from a full launch, we wanted to take this opportunity to introduce you to Patrick now so you can begin putting a name to a face and start building those important relationships.

Stay tuned — more updates to come as we continue building for the future!

• New Hires and Rehires: Welcome, and Welcome Back!

Meka McCaskill – LO, Branch 106

Michelle Hood – Growth Integration Manager, Corporate

Patrick Sheedy – Non-QM Lending Manager, Corporate

Carol Baic – Post Closing Specialist, Corporate

Jack Nelson – Marketing Associate, Branch 530

Augusta McAlpin – Branch Operations Manager, Branch 545

 

 

Agency Updates

Freddie Mac

Effective with LPA submissions on and after May 18, 2025, the 2025 Area Median Income (AMI) limits will apply.  In addition, the following tools and applications will be updated to reflect the updated limits:

 

• Home Possible^® Income & Property Eligibility tool(opens in new window)
• Refi Possible^® Income & Eligibility tool(opens in new window)
• Area Median Income and Property Eligibility tool(opens in new window)
• Income Limits and Affordable Check APIs

 

Freddie Mac also made updates to their selling guide – highlights below.

Employed Income:

• Base non-fluctuating employment earnings updates: 

Freddie Mac has made the following updates related to non-exempt (hourly) earnings:

• • Minor fluctuations in hours: language updated to add specificity to the intent of the existing requirements. Minor variations in base hours on paystubs (e.g., Borrower clocked out a few minutes early) are acceptable and may be treated as base non-fluctuating earnings when the variation is no more than an hour per week. Minor variations do not automatically render the base earnings as fluctuating if the historical earnings support the level of pay.
  • Minimum required hours exception for primary employment: requirements added for Borrowers with base earnings that fluctuate but have a position with a minimum number of required hours. The earnings may be considered non-fluctuating, and the minimum required hours are acceptable to use for gross pay if the following requirements are met:
    • Written documentation from the employer confirming the minimum required hours (i.e., written verification of employment, offer letter or equivalent documentation)
    • The documented minimum required hours must be supported by year-to-date (YTD) income and prior year, as applicable. Only the minimum required hours may be considered non-fluctuating. The requirements for fluctuating employment earnings apply to any additional hours used to qualify the Borrower.

 

• Base fluctuating hourly employment earnings – calculation method updates

Freddie Mac has made the following updates related to calculation methods:

• • Specified that the base fluctuating hourly earnings must be averaged over the most recent year(s) and YTD income, with examples
  • Added exception language for when a Seller may average using less than the most recent year(s) and YTD income, with examples

 

Pension Income:

When Internal Revenue Service Form 1099 is used to document current receipt and verifies income type and source, for existing and established pension income, the age of documentation requirements in Section 5102.4 do not apply.

 

Tax-Exempt Status of Child Support Income:

Freddie Mac is no longer requiring that Child Support Income be documented as Tax-Exempt.

 

Fannie Mae

As with Freddie Mac AMI 2025 Limits being updated effective May 18, 2025, Fannie Mae is making a simultaneous update for DU Casefiles created on and after May 18, 2025.  DU Casefiles created before this date will continue to observe the 2024 AMI Limits.

Fannie Mae and Freddie Mac are also aligning updates regarding Interested party contributions and lender incentives – see Fannie Mae SEL-2025-3 for details.

IPCs:

• Clearer definitions of IPCs.
• A new list of items that are not subject to maximum financing concessions (formerly “IPC limits”).
• Clarified a realtor rebate, not applied to the transaction (for example, not used towards closing costs), must be treated as a sales concession, regardless of when the rebate is provided.

Lender Incentives:

• Clarified arrangements subject to the lender incentive policy include cash, cash-like gifts, or items of value which may be provided directly by a lender to a borrower or through a third-party on behalf of the lender.
• Revised the requirement that when a lender who is, or is affiliated with, an interested party, provides an incentive, it must be treated as a sales concession.

 

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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 @ 1:30pm Eastern
• Origination Nation: Every Monday and Thursday @ 12:00pm Eastern
• VanDyk Mortgage Newscast: Wednesday, May 14 @ 1:00pm Eastern
• Iron Sharpens Iron: Tuesday, May 20 @ 11am Eastern
• Production Roundtable: Wednesday, May 21 @ 2:00pm Eastern

Upcoming USDA Training: USDA will be hosting a training session all about GUS. Topics include: understanding GUS underwriting recommendations, uploading required documentation, reviewing common GUS error messages, and contacting their help desk. Don’t miss this one! Thursday, June 12 at 2pm Eastern/11am Pacific. Register here.

 

 

Broker Loan Process: Updated

As a reminder, brokered loans must be moved to the Docs Rcvd (BKD) milestone in order to notify the Production Support team that the loan has closed and a QC review is needed.

To accommodate increased brokered loan volume, the Broker Loan Process has been updated to specify that loans must be submitted for QC review 72 hours prior to payroll cutoff in order to be paid within the current pay period.  Please refer to the Payroll Calendar in the HR Seafile for cutoff dates (in yellow).

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AllRegs Reminder

With our access to AllRegs restored, we now have access to investor libraries including Chase, Lakeview, Citi, Penny Mac, Redwood Trust, Truist, and our MI partners. Check them out!

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25 Points

November 13, 2024

• Virtual Ops Fly-In

Our Holiday Hits operations fly-in is fast approaching!  We are looking forward to a fun couple of days and hope to see you there.  We encourage you to log in to the Virtual Fly-In website VanDyk Fly In and ensure your access is set before the event kicks off on the 15^th.  See the attached announcement email and contact ProductionSupport@vandykmortgage.com with any questions

• Continuing Education: Reminder!

ALL licenses expire on 12/31/2024. If you want to maintain your license(s) and renew them for 2025, you will need to complete your Continuing Education (CE / CON ED) before your renewal can be submitted. Please reach out to Stacey Dettling with any questions.

• Condo Approval Clarification

Freddie Mac released their own Condo Project Advisor this year to offer additional opportunities for flexible condo project reviews.  We would like to take this opportunity to provide clarification on the different colors of Project Assessment Requests (PAR) and what they mean.

• Purple Project Certified PAR Status: Submit for review to The Condo Vault / InterIsland Insurance Review ONLY
• Green PAR Status*: Submit for review to The Condo Vault / InterIsland OR you can submit for Project Certified Review with Freddie Mac (you are responsible for obtaining the required documents).
• Yellow PAR Status* – Submit for review to The Condo Vault / InterIsland (Full / Limited); all conditions on the Feedback Certificate Assessment Summary section have been resolved for the loan to be eligible for delivery to Freddie Mac.
• Red / Not Eligible Status – Loan is NOT ELIGIBLE for sale to Freddie Mac.
• Incomplete Assessment – Submit for review to The Condo Vault / InterIsland (Full / Limited).

*For Green/Yellow PAR Findings being submitted to The Condo Vault: Include the PAR findings and a note in the notes box with the order.

 

We encourage you to sign up for one of Freddie Mac’s Condo Project Advisor Webinars and review the resources here. Check out the Freddie Mac CPA FAQ here.

• Condo Documentation Buckets

Great news! We have simplified the Condo eFolder buckets. The 2600 (Condo): All Condo Documents bucket can be used for ALL condo documents besides Master Insurance Policies and Condo Approval.

If you have a property that needs to be declined due to the condo not being approved, please upload the declined project documentation to the 2600 (Condo): All Condo Documents bucket as well. These documents are required in order for the denial to be finalized.

• IT Updates
  • Personal Devices – VanDyk Mortgage requires the use of corporate computers to conduct business but acknowledges that personal devices may be needed in specific situations. Employees are required to obtain prior approval and ensure their devices comply with stringent security and hardware standards. They must also agree to security protocols, including full-disk encryption, IT monitoring, and the possibility of data wipes if security breaches occur or compliance is not maintained
  • Working abroad/vacation – VanDyk Mortgage prohibits access to company systems from foreign countries except under approved, exceptional circumstances to protect data from security threats. Employees must adhere to strict security measures, such as using a VPN, multi-factor authentication, and a BitLocker Boot Pin, when granted access for travel. Domestic travel access also requires adherence to security protocols, to ensure no disruption in access.
• Title Request Form – Bond Loan Update

The Title Request Form for Bond loans has been updated in Encompass. Previously, the form “Title Request Form (Bond Loan)” printed the Florida Housing agency info by default. This form now prints a blank bond agency name/address for you to fill in for any state DPA loan. “Title Request Form (FL Housing Bond Loan)” will now be used for Florida Housing loans.

• Renovation

We are almost ready to launch our in-house FHA 203k and Homestyle Renovation products. If you want access to these products, the branch origination team (LO, TC, Processor, etc) must all attend this training on Tuesday, November 19 at 2pm ET. Invitations for training will be sent soon – watch your inbox!

• Polly Changes

We are excited to announce that Polly is now able to read the loan file address and auto-generate a census tract for Chase Community Lending loans! Once the full address is entered, the codes will generate. The below is the new screen you will see when pricing a loan or running a scenario. Another thing you will notice is the removal of the CLTV/HCLTV fields, those generate based on the loan scenario and will show at the top of your screen.

 

• HR Updates

What’s the point of no shave in November?  

No Shave November is a campaign created to grow awareness by letting your hair grow for 30 days. Men are challenged to grow out their facial hair, beard, mustache, whatever they can stand! This movement was created to raise awareness of Men’s Health concerns, including prostate cancer, testicular cancer, and mental health issues.

Is No-Shave November for guys only?

Can females do No-Shave November? From baseball teams to news crews and police forces, guys certainly get most of the attention when it comes to no shave—for obvious reasons. Men like to “let it grow” when it comes to bears and mustaches. However, women can also participate.

• New Hires: Welcome!

We are delighted to welcome our most recent new hires!  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:

Rebekah Coburn, Processing Assistant	Branch 131, Muskegon, MI
Terry Patterson, Loan Officer	Branch 253
Dora Isaksen, Loan Officer	Branch 200, Pocatello, ID

 

 

Agency Updates

Fannie Mae

You have likely heard and seen the rumblings around Value Acceptance (Fannie Mae Appraisal Waivers) increasing LTVs to 90%.  We are happy to confirm that this is correct!  Beginning in Quarter 1 of 2025, for purchase loans for primary residences and second homes, the eligible LTV ratios for Value Acceptance will increase from 80% to 90% and Value Acceptance + Property Data will increase from 80% to the program limits.  Check out the full details here.

FHA

HUD has published updates to their New Construction property elevation requirements where the subject property is in a Special Flood Hazard Area (SFHA).  The basis of these updates is to decrease potential damage from floods, increase the safety and soundness of the property for residents, and provide more resilient communities in flood hazard areas.  The change requires that the lowest floor in newly constructed structures locates within the 1 – percent-annual-chance (100-year) floodplain be built at least two feet above the Base Flood Elevation (BFE).  This new elevation standard is applicable to New Construction with building permit application submission dates on and after January 1, 2025.  This does NOT apply to Manufactured Homes.

See full details in Mortgagee Letter 2024-20 with the 4000.1 updates to this announcement.

 

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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 @ 1:30pm Eastern
• Production Roundtable: Wednesday, November 13 @ 2pm Eastern REMINDER: ATTENDANCE IS MANDATORY for all LPs and TCs/LOAs who perform TC functions.
• VanDyk Mortgage Newscast: Thursday, November 14 @ 1pm Eastern
• Virtual Ops Fly-In: https://vandykflyin.vfairs.com/ – For more details, see attached email!
• Iron Sharpens Iron: Tuesday, November 19 @ 11am Eastern

Additional Training Opportunities

• Freddie Mac has published their training offerings available in November. Check out the calendar here and enroll today!
• USDA is hosting a training on handbook and policy updates on Thursday, November 14 at 2pm ET. Register here!
• MGIC will hold a session on Variable Income on Tuesday, November 19 at 2pm ET. Register here!
• Essent is hosting a 20-minute Micro Session on Schedule C income and making cash flow adjustments. This will be Wednesday, November 20 at 1pm ET. Register here!

 

 

 

LP Update: New Look for New Submissions

The submission screen for LP has been updated – if you have a file that hasn’t had LP run yet, you may have to manually add in your credit report in order to run. Use the “New” icon to add a line for your report.

Check out the updated how-to here and reach out to Production Support with any questions.

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Payment Link – Reminder

As a reminder, please do not use the “old” credit card authorization form that collects a borrower’s full credit card number. In most cases, payment links can be sent through ValueLink. In the limited cases that we need to collect payment for an appraisal up front outside of ValueLink, please reach out to Accounting to request the form you’ll need to complete for a payment link to be sent to your borrower.

 

25 Points

October 15, 2024

• Ops Virtual Fly In – Save the Date!

Plans are coming together for our fall Ops Virtual Fly-in and we couldn’t be more excited!  We are anticipating a wonderful event with activities happening Friday, 11/15 and Monday, 11/18.  More information will be coming soon!

• NMLS License Renewals

For our licensed LOs: ALL licenses expire on 12/31/2024. If want to maintain your license(s) and renew them for 2025 you will need to start thinking about your Continuing Education (CE / CON ED). Please see the attached Con Ed Information email and reach out to Stacey Dettling with any questions.

• FHA Streamlines and VA IRRRLs – Updates

GREAT NEWS!  We have verified that we can close our non-credit qualifying FHA Streamlines and non-credit qualifying VA IRRRLs with a 1-bureau soft pull.  If you currently have a loan in process with a soft pull and there is a condition for a hard pull, we will be waiving this condition the next touch in underwriting.

• Escrow Companies: Items Required for Approval

In states where an Escrow Company is involved, the Escrow Company requires approval along with the Title Company, as they are the ones handling the money.  To approve Escrow Companies, the following items are needed:

• Escrow Reconciliation Policy  (Pillar 2 if they follow ALTA’s best practices format when organizing their policies).
• Information Security Policy (Pillar 3 if they follow ALTA’s best practices format when organizing their policies).
• CA ONLY: Sample Escrow Disbursement Ledger

Even though they are Escrow Companies, they can still be submitted to titleapproval@vandykmortgage.com for approval.

• Coming Soon….
  • Renovation – Late in Q4, we will be bringing the 203k and Homestyle product in-house. We are building out the programs and working on product certification.
  • Land Home/Trio loan – We are getting ready to launch a pilot program for what we are billing as a “Dreams Come True” Loan program. This product will be for near-miss FHA borrowers, ITIN borrowers, self-employed, etc. More to come on this as we work through our pilot.
• Polly/OB Timeline

Secondary has set the following timeline for the Optimal Blue to Polly transition:

• 9/30-10/4: Transition period. Secondary will be issuing logins and helping LO’s get into the system and help with any issues that arise. Please start using Polly as soon as you are able to access the system.
• 10/7-12/1: Locks/new pricing will be disabled in OB, but logins will remain active to make changes to existing locks. All new locks should flow into Polly starting 10/7.
• 12/1: OB logins will be disabled and Polly will be set as the Encompass default.

• Reconsideration of Value – Changes Coming Soon

The new Reconsideration of Value (“ROV”) process and requirements for Fannie Mae, Freddie Mac, and FHA goes into effect October 31, 2024. James Beebe will be joining our newscast tomorrow to provide a full overview of these changes – check out a summary here.

• CreditXpert – Wayfinder/What-If Update

As you may have noticed, SARMA has released their version of the Wayfinder/What-if tools and things are working well.  This job aid can help assist you with placing orders.  Reach out to Doug Swan (dswan@sarma.com) or Production Support if you have questions.  Xactus was able to extend the CreditXpert service through the end of the year, so no changes were made on their end.  Once we know if Xactus will be updating their services, we will advise.

• Marketing Update

Pipeline Power-Up Progress: Your Path to Success!

We’re thrilled with the progress so far in the Pipeline Power-Up program! As of 10/13/24, 61 Loan Officers have already participated, completing 329 tasks—a strong start to this initiative designed to boost your business.

The Results Speak for Themselves

The Pipeline Power-Up program is already making a difference. Loan Officers have reconnected with agents, secured new prospects, and noticed a renewed sense of momentum in their businesses, all within just the first couple weeks.

Stay on Track and Win Big!

Remember, if you complete 4 out of 5 tasks each week, you’ll win a free trip to our annual fly-in, as well as receive dedicated coaching from our very own Tom VanDyk! This is a great opportunity to not only grow your business but also earn exciting rewards along the way.

Need Help Catching Up?

If you’re behind, no worries! With just 5 days of focused effort each week (and maybe a weekend boost), you’ll be back on track in no time. Let’s keep the momentum going—your success is just a task away!

• ADP: Accessing Your Information from Your ADP Self-Service Portal

Did you know that you have access to a self-service portal through our Human Capital Management solution, ADP Workforce Now®? This means that you have secure and convenient access to company communications and your personal, pay, and HR information.

Access all of your personal, pay, and HR information without having to reach out to HR! With your self-service portal you can:

• View your pay statements or annual tax forms (W-2)
• Manage your personal information and pay preferences
• View time-off balances and submit time-off requests, and more!

For instructions on registering for the portal, please check out this how-to guide. Reach out to HR@vandykmortgage.com with any questions.

 

• HR Updates

We are delighted to welcome our most recent new hires!  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 shared in the photobooth:

Denise Lindsay, LO	Branch 262, Wisconsin/Illinois
Kathleen Beezley, LOA	Branch 453, Florida
Robert Gomez, OLO	Branch 261, California

 

Agency Updates

Fannie Mae

Fannie Mae has not published any updates to their Selling Guide, so we wanted to take this opportunity to include Fannie’s resources on Day 1 Certainty.  Did you know that these tools could turn a decline into an approval? Check out the FAQ here!

 

Freddie Mac

AUTOMATED EMPLOYMENT ASSESSMENT USING LOAN PRODUCT ADVISOR: Effective for Mortgages submitted to Loan Product Advisor on or after October 14, 2024

Freddie Mac is enhancing automated employment assessment with Loan Product Advisor, which is part of asset and income modeler (AIM). This enhancement will enable VanDyk to use a Borrower’s account and employed income data for Loan Product Advisor to determine whether the loan is eligible for relief from enforcement of certain representations and warranties related to the Borrower’s current employment. Eligibility for relief from enforcement of representations and warranties related to the Borrower’s employment will be included on the Feedback Certificate.

We encourage EVERYONE to utilize Freddie Mac’s AIM (Asset and Income Modeler) Training to learn more about how you can maximize your borrowers’ loan qualifications.  Your knowledge could make the difference in closing a loan or not!

 

USDA

USDA has extended the Manufactured Home Pilot Program through May 1, 2025.  This was originally set to expire November 4, 2024.  The pilot is effective for Colorado, Iowa, Louisiana, Michigan, Mississippi, Montana, Nevada, New Hampshire, New York, North Dakota, Ohio, Oregon, Pennsylvania, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, West Virginia, Wisconsin and Wyoming.  As a reminder, we utilize USDA’s Single-Family Housing Guaranteed Loan Program. The USDA matrix has been updated to reflect this change.

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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 to any of these meetings at Welcome to VDM – click Join a Meeting in the top navigational bar, then click on Recurring Meetings.

• Deal Desk: Every Tuesday at 1:30pm Eastern
• Origination Nation: Every Monday and Thursday at 12pm Eastern
• VanDyk Mortgage Newscast: Wednesday, October 16 at 1pm Eastern
• Production Roundtable: Thursday, October 24 @ 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 for October. Check out the calendar here and enroll today!
• NAMB/Freddie Mac will be hosting a Condominium Product Eligibility training on Wednesday, October 16 from 2-3:30pm ET. Register here.

 

  

VA Refinances

As a reminder, while the VA Handbook only speaks to seasoning requirements for VA to VA, Ginnie Mae requires that ALL VA Refinances, must meet the following seasoning:

The note date of the refinance loan must be on, or after, the later of:

• The date on which the borrower has made at least 6 monthly payments on the loan being refinanced; AND
• The date that is 210 days after the first payment due date of the loan being refinanced.

Our VA Matrix has been updated to make this clearer. ai Underwriter will apply the conditions for seasoning – we have created a calculation tool as well.

*  *  *

Additional Refinance Resources

Did you know we have some helpful refinance resources in Howee/Seafile? Check out this folder to review different refinance options, including a comparison tool.

 

25 Points

September 11, 2024

• MI Center

Great news! We now have an option to run MI quotes within Encompass from ALL the providers at the same time! You’ll find MI Center under the “Tools” tab in your Encompass loan. Check out the job aid here and reach out to Production Support if you need any help running quotes.

• Brokered Loans: Appraisals

Don’t forget to review the  Broker Comparison Tool’s Submission Info tab to determine if the lender will accept an appraisal ordered through our system.  Currently, Acra is the only lender who will accept an appraisal from us that has been ordered like usual.  FNBA requires the use of an AMC – so if you are going to order an appraisal, be sure make a comment to the Appraisal department on your order that the loan is brokered and needs to be sent to ClearCapital AMC. As always – guidelines and requirements are subject to change, so we always recommend that you review the scenario and steps with the lender’s A/E before issuing any pre-qual /Pre-Approval letters or placing ANY orders.

• NAR Settlement: Borrower Paid Realtor Comp

On August 17, 2024, changes went into effect regarding realtor commissions as part of the NAR settlement. To ensure our staff have the pertinent information, we are including a copy of the agreement and a helpful comparison chart along with an internal document of the “highlights” prepared by James Beebe.  We have updated our standard pre-approval/pre-qualification forms in Encompass to include a reminder regarding buyer paid realtor commissions. We will be hosting a round table discussion where your questions can be answered by some of the VanDyk Leadership team – watch your inbox for the invitation coming soon!

• Processor Auto-Assign

We have an option in Encompass to automatically assign a processor to an Encompass file, based on Loan Originator.  The only limitation is: if an LO uses more than one processor, we wouldn’t want to apply the rule.  If the same LO and Processor Team are used on every file, this is a great feature to ensure the whole team is made aware of files in the pipeline.  If you are interested in having this option applied to you, please reach out to ProductionSupport@vandykmortgage.com to get the additional details and requirements.

• Chase Community Lending

Chase has published a new option for looking up eligible properties for their Community Lending product: Collateral Analytics tool. This site gives you the ability to search by address to see what listings are available in Chase Community eligible areas, and also allows you to search by a specific area to see if it is eligible.

• Coming Next Week: ADP Workforce Now

As a reminder: starting September 16, 2024, we will be transitioning from Paylocity to ADP Workforce Now. Paylocity will be shut down on September 15^th at 11:59 PM EST.

• Recasts & EPO

As we approach the possibility of lower rates, we wanted to remind everyone of EPOs and Recasts. Recasts are allowed on Conventional mortgages only and to recast, the borrower needs to have made 6 on-time payments. There are fees and the process differs depending on the servicer. Please make sure you are providing borrowers with accurate timelines if they wish to recast.

Early payoffs (EPO) are also a conversation point to have with your borrowers in this market. Make sure they understand that the expectation is that they will keep the mortgage long-term and that it is not a bridge loan. If the borrowers are selling a property with large equity or turning a prior primary into a 2nd/investment house, make sure that is a long-term plan. Early payoffs have been on the rise, so please be mindful of this and ask your borrowers the questions.

• Polly

We are in the pilot phase of Polly and working out any remaining system issues. Things have been going well so far and we anticipate companywide trainings starting by Mid-September. Please be on the lookout for training invitations to be sent this afternoon, and make sure to attend if you will be using the new pricing engine. Trainings will be:

• Monday, September 16 @ 3pm Eastern
• Tuesday, September 17 @ 12pm Eastern
• Wednesday, September 25 @ 2pm Eastern
• Thursday, September 26 @ 11am Eastern

 

• aiUW: Future Employment

Please note that aiUW will add conditions for future employment when the Date Hired or Years in this Job are missing from the VOE section. To avoid this, make sure both the Date Hired and Years in this Job fields are completed when it’s an existing employer.

 

• HR Updates

We are delighted to welcome our most recent new hires!  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:

Patrick Frederick, LO	Branch 131, Michigan
Michelle Zamot, PTBDA	Branch 453, Florida
Denise Law, PTBDA	Branch 261, California
Julia Chernov, PTLO	Branch 401, Ohio

 

 

Agency Updates

Fannie Mae

DU Update: Revalidation of Employment: Starting September 20, 2024, DU will be updated to automate the review of supplemental asset reports for revalidating employment when a loan cannot close by the original date. This change allows lenders to receive a new “Close by Date” from DU and retain employment reps and warrants, provided other conditions are met. Additionally, the supplemental asset report no longer needs to come from the same vendor as the initial report. Full details can be reviewed in Fannie Update SEL-2024-06.

Freddie Mac

Effective Date Extended for Flood Insurance Premium Requirement: Freddie Mac announced that when a flood insurance policy on a mortgaged premises shows both a full risk premium and a discounted premium, the full risk premium plus any fees and surcharges must be used to calculate the housing expense-to-income and debt payment-to-income ratios. To give us additional time to implement this change, Freddie extended the effective date from note dates on or after September 5, 2024, to note dates on or after April 1, 2025.

FHA

FHA New Construction- Reminder: Prior to placing an appraisal order, a builder’s cert is required. If an appraisal order is placed as an existing home and the appraiser determines the property is new construction, the order will be placed on hold until the builder’s cert is uploaded.

USDA

Updated Income Limits: The Fiscal Year 2024 income limits for the Single Family Direct Loan and Grant Programs were published through Procedure Notice 618.

The income limits were updated in the impacted websites and systems (e.g., UniFi and Section 502’s Self-Assessment tool). The following automated worksheets were also updated.

• Section 502 Worksheet for Computing Income and Maximum Loan Calculator (as found on the Direct Loan Application Packagers page).
• Section 504 Automated Worksheet (as found on the Single Family Housing Repair Loans & Grants page under the ‘To Apply’ tab).

VA

Secondary Borrowing on Assumptions: The VA has issued guidance regarding assumption transactions that involve secondary borrowing (i.e., if the borrower needs an additional lien to help finance the purchase). VA does not prohibit the assumer of a VA-guaranteed loan from obtaining secondary financing, but the lender is responsible for ensuring regulatory requirements are met for the assumption – which includes verifying the lien position, documentation of the secondary financing, and allowable purposes – full details can be reviewed in VA Circular 26-24-17.

 

*  *  *

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
• VanDyk Mortgage Newscast: Thursday, September 12 at 1pm Eastern
• Production Roundtable: Monday, September 16 @ 1pm Eastern REMINDER: ATTENDANCE IS MANDATORY for all LPs and TCs/LOAs who perform TC functions.
• Iron Sharpens Iron: Tuesday, September 17 @ 11am Eastern
• Polly Training:
  • Monday, September 16 @ 3pm Eastern
  • Tuesday, September 17 @ 12pm Eastern
  • Wednesday, September 25 @ 2pm Eastern
  • Thursday, September 26 @ 11am Eastern

Additional Training Opportunities

• Freddie Mac has published their training offerings available in September. Check out the calendar here and enroll today!

 

 

Did You Know?

Interested Party Contributions

As a reminder, the Interested Party Contributions (IPCs) may never exceed the amount of closing costs, prepaids, and discount points. The easiest place to review this is the URLA – Lender screen Details of Transaction in Encompass.  If you have an excess of IPCs, look at utilizing to buy down PMI (conventional loans with LTV > 80%), pay the VA Funding Fee (must be all or nothing), pay the FHA UFMIP (must be all or nothing), or the USDA Upfront Fee (must be all or nothing).  This should always be reviewed prior to issuing your initial CD as a courtesy to the borrower.

*  *  *

The Condo Vault Orders: Reminder

REMINDER!  If your Condo is Fannie Mae, Freddie Mac, FHA, or VA approved, your order with The Condo Vault should be for Insurance Review Only.  We do not need full or limited reviews done on agency approved condos.

 

25 Points

August 8, 2024

• Risk Update: Wire Fraud

In recent weeks, we have seen increased phishing activity where unsavory parties emulating title companies are looking for borrower information and providing alternative wire instructions.  Don’t allow yourself or our borrowers to be victimized!!!  As mortgage professionals, we need to remember to take care with managing our email.  Jeanie Nivison sent an important Newsflash email (which you can review here) outlining the steps we have taken to increase security and provide guidelines for our company best practices.  Please be vigilant and take measures to ensure you do not put yourself, your clients, or our company at risk.

• Bond Disclosure Training – Follow-Up

We hosted two trainings in July to educate branches on the steps required to send your own bond disclosure packages.  If you missed it, a recorded session can be found here.  Reminder – the fee for our compliance department to send the initial or COC packages out for you is $40.  We encourage everyone to complete the training and pass the quiz so you can deliver the bond disclosure packages to your borrowers directly.

• Chase Community Lending: Exciting Update!

Great news! The Chase Community Lending program is now allowing Fannie Mae Value Acceptance (Appraisal Waiver) + Property Data or Freddie Mac ACE + PDR.

• CreditXpert Updates

CreditXpert, the company that facilitates What If and Wayfinder products with our credit vendors, will be separating and requiring the scenarios to be run on their website. Xactus, Sarma and all other credit vendors will no longer be able to offer the Wayfinder/What If options themselves.  With this change will come a cost increase, so we are looking at an alternate option and will provide additional information as it becomes available.

• MI Center

Some Great News!  We are delighted to announce an option to run quotes with all MI providers at once in Encompass will be available soon!  We are finalizing the process and should be able to provide additional information and instructions soon.

• Verifications – Are You Having the Conversation?

We are finding borrowers are unwilling to complete payroll and asset verifications from Veri-Tax and PointServ because they are suspicious about the source.  It is imperative you discuss with the borrower why you are requesting the verification and what they should expect prior to placing the verification order.  If you are unsure of the process or what the borrower experience is, we can help!  Check out the payroll user guide from Veri-Tax which details what the borrower will see and explains what they should do.  The most important thing to remember is to address the borrower’s concerns and ensure they have confidence in the product and process before placing the verification order.  ProductionSupport@vandykmortgage.com can answer questions and assist with account creation.

• Polly Pilot: Coming Soon

As announced in July, we have decided to make a pricing engine switch to Polly from Optimal Blue. We are on target to start a Pilot later this month. We do have a couple volunteers, but if anyone else would like to join the Pilot, please reach out to Brad or Zuzana. Our tentative go live date is 10/1 for all VanDyk. We will be doing live trainings in September. Stay tuned for more information.

• Buydown Matrix: Updated

The Buydown matrix has been updated to include second homes as eligible properties – check out the updated matrix here.

• Multi Factor Authentication, System Security and You

We have placed the majority of our employees on an authentication program which requires validation of your identity via your cell phone.  Users with more than one Microsoft account must validate for each one, per device, per app.  Often, changing your IP address will prompt the authentication.  This may seem cumbersome; however, with the increase in cyber-attacks and issues hitting close to home, we feel the extra layers of security will keep our borrower’s sensitive and personal information safe.

In the event your borrower in unable/unwilling to provide their loan documents or personal data via Floify, we have an option for secure file delivery within our Seafile system.  All users can deliver a secure upload link and access items within Seafile.  See this job aid for instructions and reach out to IThelpdesk@vandykmortgage.com with questions.

• 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:

Ashley Piehl, LO                           Branch 231 – Clearwater, FL

Natalia Ospina-Restrepo, LO Branch 727 – Tampa, FL

Lisseth Sesatty, LO                                 Branch 131 – Muskegon, MI

Verna Jackson, LO                                   Branch 703 – Delray Beach, FL

Jessica Yates, LO                         Branch 259 – SLC, UT

Kyla Eadie, IT Specialist

Charlie Sundstrom, Business Development Director

 

Agency Updates

You may be hearing rumblings about changes and required disclosures that must be implemented within a lender’s Reconsideration of Value (ROV) policies and procedures for Fannie Mae, Freddie Mac, and FHA.  Initially, these updates were to be in effect by September 2; however, this date has been pushed out to October 31, 2024.  We are working to update our ROV policies and procedures and expect to have this completed and published by our News coming October 2024.  Stay tuned!

 

Fannie Mae

Fannie Mae has updated their Selling Guide in relation to Rent-related Credits, most specifically, Rent Credit with an Option to Purchase and Rent-back Credit.  We are implementing these immediately.

Rent credit with an option to purchase

Current policy states that rent credit, which is determined by calculating the difference between the market rent and the actual rent paid for the last 12 months, can be credited towards the downpayment or minimum borrower contribution under a documented rental/purchase agreement. This policy update permits more than 12 months’ rent credit to be used as long as all other requirements are met.

Additionally, we expanded the documentation requirements to include:

• rent verification documentation, including bank statements or other reasonable methods evidencing the rental payments over the term of the agreement; and
• minimum terms outlined in the rental/purchase agreement.

Rent-back credit

A rent-back credit is an amount paid by the property seller to the borrower in exchange for allowing the seller to stay in the home for a specified period of time after closing. While rent-back credit to the borrower paid by the seller is permissible as part of the sale, it cannot be used as an eligible source of funds for closing costs, down payment, or reserves. Additionally, lenders must underwrite the loan without any consideration of the rent-back credit and must document that the borrower has sufficient funds for the transaction from eligible sources.

 

Freddie Mac

LPA: Freddie Mac is updating feedback messages in LPA (Loan Product Advisor) surrounding cash to close, reserves, and income.  These are welcomed messaging as cash to close shortages are frequently overlooked since LPA will return Accept / Eligible results and the messages around certain retirement incomes such as VA Disability, Pension, and SSI will be clearer and more concise. For the full list of feedback messages and how they will change or what is new, visit Freddie’s LPA Matrix here.

Selling Updates: Freddie Mac has made updates to the Income Underwriting and Documentation Requirements around Self-Employment, Non-Arm’s Length Employment, Fluctuating Hourly Employment, and Social Security Income types.  The following updates are being implemented immediately.

Self-employed income: We are making the following updates related to self-employed income:

• Self-employed history of less than two years:
  • Specifying that the Borrower must have a combined two-year history of receipt of income from the current self-employment and the prior job in the same or similar occupation or industry
  • Specifying that the qualifying income must be determined by using the lesser of the stable monthly income from the new business or the stable monthly income earned in the previous occupation
• Business structure changes: Adding guidance and requirements to address business structure changes (e.g., the Borrower’s business structure changed from a sole proprietorship to an S-corporation), including requiring that there must be no change in the Borrower’s percentage of ownership interest in order for the current and prior business structures to be considered the same business.

Employed income: non-arm’s length employment. We are updating our requirements to:

• Permit the use of the Internal Revenue Service (IRS) wage and income transcript for the most recent year in lieu of the tax returns (W2 Transcripts), and
• Specify that the documentation must validate the prior year earnings from current employment and support the current income level. If the current income level is not supported, the Seller may use the validated income amount from the prior year as qualifying income.

Calculation of income from fluctuating hourly employment

We have specified that in certain instances, the income average for fluctuating earnings may be based on a shorter number of months if a written justification and/or documentation is provided to support the applicable months used in the calculation.  The total number of months used in the calculation must be at least 12 months.

Documentation for Social Security retirement and Social Security disability income types

We have expanded our documentation requirements for Social Security retirement and Social Security disability income types to permit IRS Form 1099-SSA and pages 1 and 2 of the Borrower’s most recent federal individual income tax return or pages 1–3 if the tax return was filed using IRS Form 1040-SR. When using tax returns that were filed jointly with an individual who is not a Borrower on the transaction, additional documentation is required.

*  *  *

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
• VanDyk Mortgage Newscast: Thursday, August 8 at 1pm Eastern
• Iron Sharpens Iron: Tuesday, August 20 @ 11am Eastern
• Production Roundtable: Wednesday, August 21 @ 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 August. Check out the calendar here and enroll today!
• Essex Mortgage is hosting an overview of their nationwide DPA program on Tuesday, August 13 at 1pm ET. Register here to receive the calendar invite.
• Essent is hosting a webinar on Advanced Variable Income – hourly rate increases, significant income fluctuations, and variable work hours. This will also be Tuesday, August 13 at 1PM Eastern. Register here to attend!

 

 

 

Reminder: Run Both AUS!

Reminder, our best practice is to run both LPA and DU on every file to ensure you are getting the best options in pricing and documentation level for your clients.  We encourage each LO and Processor (and any other team members, as applicable) to run both AUS as a normal part of their workflow.

*  *  *

25 Points

July 11, 2024

• Mid-Year Look Back

It might be hard to believe, but we are halfway through 2023! Here’s a recap of some of the highlights and accomplishments VanDyk celebrated in the first half of the year:

Launched Soft Pulls in AUS Opened using soft pull to obtain conditional approval in UW Created various Encompass pipeline views to assist LOs and Processors Presented our first virtual fly-in event Acquired a new flood cert provider

Launched VDM Virtual app Launched Welcome to VDM Adam Morolla’s prestigious TE award! Updated agency guideline search in Howee New 3rd party providers – VOA/VOE Presented our first virtual Summer Sales Rally fly-in event Transitioned to a new 401k provider

 

• VanDyk Victories and Grateful Clients

You may have noticed some emails highlighting recent wins amongst our team.  We are excited to continue celebrating your greatness and hope you will notify us the next time you have a victory!

• • Deal desk saves
  • Lost an A/E and someone helped get it back
  • CTC in 15 or less business days
  • Happy clients, good news

Send details to productionsupport@vandykmortgage.com – you deserve to be celebrated!

Now for some shoutouts:

 

• This year at Accelerate, Total Expert’s annual conference, Adam Morolla was recognized as the best of the very best – winning the Journey Wizard Award. This award recognizes the work Adam has done to build out the best marketing in the industry to help our LOs grow their business. Let’s celebrate Adam on this well-deserved reward!
• We also wanted to pass along some praise for Sean Carter, sent by a grateful borrower:

• Welcome to VDM/VDM Virtual App: Story Time!

Some of you may recall June’s Iron Sharpens Iron call – we emailed a reminder with the incorrect Zoom link (oops!). But you can avoid headaches and delays by opening the VDM Virtual app, or by going to https://welcometovdm.vfairs.com/. Click Join a Meeting and you’ll never need a Zoom link again!

• Photo ID: UPDATE

Effective immediately, we will no longer be requesting a copy of any borrowers’ photo ID for underwriting.  It remains a best practice to collect the photo ID for verification of legal names and data within the loan application as well as Halcyon orders.

Underwriting will continue to require verification of a borrower’s Permanent Residency or Non-Permanent status according to agency guidelines.

If it is necessary to verify a discrepancy in any of the data on our loan application and a photo ID is requested in this instance, the photo should be blacked out prior to submitting to the underwriter.

• Condo Appraisal Update

If the Condo Vault or InterIsland has a correction to the appraisal, the branch can make this revision request directly to ValueLink; however, please be sure that the documentation to support the revision is uploaded to the order / revision request.

• $2,500 Grant – Homebuyer Education Requirement

For the HomeReady/Home Possible $2,500 free money: homebuyer education is required to receive this grant. For borrowers who want to decline this money, a waiver form will be required to be signed prior to closing. The form will be available to print in Encompass, but can also be downloaded here (click the Download button to save).

• SSO Logins

To enhance our cyber security, we are currently transitioning our Encompass log-in procedures to Single Sign-On (SSO). This will allow users to sign into Encompass with a single button click instead of typing in a username and password. It will also limit password sharing between users. With this transition to SSO, we do not want job functions to be impacted. Thus, the IT team will work to adjust user access to ensure everyone can perform their job functions without needing to log in as someone else. Thank you for your cooperation during this transition.

• Bond Loans Update

We are excited to open-up Bond loan disclosures to our branches!  We have scheduled 2 live training sessions to ensure you have the information you need to begin sending out your own packages beginning 8/1.  Anyone needing additional training or assistance after 8/1 can reach out to Compliance@vandykmortgage.com.

• AVMs via Encompass

We are excited to announce that AVMs can now be ordered within Encompass for $8. This can be found under Services > Order Appraisal > ICE Automated Valuation Solutions.

 

When the order is completed, you’ll find the results in the “Appraisal” bucket.  We have created an AVM bucket to move these over to: 2000 (Appraisal): AVM

The costs for your AVM can be passed on to the borrower at closing if the fee was disclosed (either as part of the initial LE or as a COC within 3 days)

When would you order an AVM?

1. When conditioned for one by UW
2. When you are brokering a loan and the lender accepts/requires one to be submitted
3. To determine initial value of a property during the prequalification process

• AccountChek Disabled

Due to the PointServ option costing substantially less and covering more providers, we have disabled AccountChek access.  If you are unable to obtain a VOA report with PointServ or run into issues, please reach out to Production Support – they can help you troubleshoot or obtain an AccountChek report as a last option.

• Loan Pipeline Automation

We are currently utilizing the “Connector” for several automated functions in our workflow. The most recent updates have been to Pipeline Management and ECOA Actions.

• Pipeline Management – For the Prospects Folder, any file that has not moved milestones in 180 days will be moved to Inactive Prospects. The LO will receive a reminder email 7 days prior to the move and can keep the file active if needed.
• ECOA Action – Per ECOA, we must issue our borrowers a Notice of Incompleteness (NOI) every 30 days until the loan is either Approved or Adversed (Withdrawn or Denied). Branches will receive an email 5 days before the ECOA action is due to trigger it (see below). If no action is taken by day 30, a generic NOI will be issued to the borrower. This process will repeat every 30 days, however at 60+ days, the ECOA action must be taken by the branch, otherwise the loan will be automatically withdrawn from active pipeline.

• New Pricing Engine: Coming Soon

We have made the decision to move on from Optimal Blue and move to Polly. Polly has been pushing to become the leader in the Pricing Engine space for the past 5+ years. They have a product that is superior to Optimal Blue and are utilizing a new integration with Encompass. Some key highlights with Polly:

• Pricing website that allows you to lock, extend, change products, and more from a mobile-friendly website – instead of the Encompass file.
• Ability to accurately price lead categories (branch vs self-generated)
• Ability to accurately price LO comp differences for Purchase vs Refi
• Capable of running Government and Conventional scenarios at the same time.

We are looking for a few volunteers to run at least a one-month Pilot to work out bugs. Please reach out to Brad and Zuzana in Secondary to request to be part of the pilot.

• Updated Mortgagee Clause

As of 7/1, we have a new mortgagee clause for insurance policies. Insurance order forms in Encompass have been updated to the following:

 

VanDyk Mortgage Corporation

ISAOA ATIMA

5510 Richfield Rd

Flint, MI 48506

We appreciate your help in ensuring that loans are reflecting this new mortgagee clause on all homeowners, flood, wind, and/or earthquake policies.   The title insurance request form has been updated and reflects the Grand Rapids address.  If you have questions or need assistance, please reach out to productionsupport@vandykmortgage.com

• Reminder: Soft Pulls in Floify

If you are ever in a situation where the soft pull liabilities don’t import from Floify into Encompass, reach out to PS to troubleshoot.  Users should never manually change their Encompass log in to their soft pull credentials in the credit report section.

We are running into issues where users are obtaining the SP in Encompass (not Floify) and finding files missing the required written auth/ creating the incorrect credit buckets.

Your assistance is appreciated!

• One-Off eSign Docs: Update

We require the signature envelope page from Floify to accompany all one-off LOE/LOXs that are eSigned.  Be sure to provide this additional page to UW – you will begin to see a condition from UW if it is missing from your bucket.

These certificates typically come into the eFolder as the last page of your eSigned doc. If you have any trouble locating the signature page, reach out to Production Support.

• Tax Transcripts Reminder

For loans that require transcripts, best practice is to place your order as soon as you have the signed 8821 back.

• Marketing Updates

We’d like to give a shout out to Sean Carter for winning last quarter’s Open House contest. Sean, we hope you’re enjoying your Nespresso! Want your chance to take home an awesome prize?

The New Marketing Challenge is Live!

Grow your influence locally with community events and stand a chance to win a Blackstone Grill! Want more details? Join our Teams chat to learn more: [Click Here]

New Feature Alert: Refinance In-Process Journey

A Refinance In-Process Journey has been added to your Total Expert accounts. Don’t forget to record your BombBomb videos to personalize updates for your refi clients throughout the process.

Discover the New Pipeline Views in Total Expert

Check out the new Pipeline Views in your contacts tab. These views offer a quick and easy way to sort your database and identify opportunities. Have ideas for additional pipeline views? Send us an email at: vandykmarketing@vandykmortgage.com

 

Agency Updates

Freddie Mac

Freddie Mac issued Bulletin 2024-9, making additional updates to their Rental Income guidelines.

1. Purchase of Investment Property –
   1. Rental Income can now be used if the borrower rents their Primary Residence; formerly, the borrower had to own their Primary Residence.
   2. Rental Income can now be used if at least one borrower rents or owns their Primary Residence; this has changed from all borrowers.
2. Purchase of Investment Property (or) Primary Residence being converted to an Investment Property –
   1. The full amount of net rental income may be used to qualify as long as at least one borrower has a minimum of one year investment property management experience; this has changed from all borrowers.
3. Property owned as a Rental Property during the entire calendar year –
   1. The Net Income or Loss reported on Schedule E may be established based on the number of days in service based on Schedule E provided that the property was out of service for any time period during the prior year, and it is documented that there was an event such as renovation as supported by a reduced number of days in use and repair costs on Schedule E.
4. Property purchased of converted to a Rental Property later in the prior calendar year –
   1. Rental Income may be based on the number of months after the purchase or conversation date; formerly, the net income or loss reported on Schedule E was required to be annualized (divided over 12 months).
   2. The Net Income or Loss reported on Schedule E may be established based on the number of days in service based on Schedule E provided that the property was out of service for any time period during the prior year, and it is documented that there was an event such as renovation as supported by a reduced number of days in use and repair costs on Schedule E.

Freddie Mac Condo Updates – Project Eligibility requirements have been updated to allow Condominium Projects to share amenities with other residential projects.  Residential projects include residential Condominium Projects and PUDs.

USDA

As we anticipated based on the proposal, USDA has in fact increased the maximum PITI ratio to 34% for GUS Refer / Manual underwrites.  With this update, there is no longer a ratio waiver permitted to exceed 34% on the front-end ratio, however, the waiver does remain in effect for the back-ratio to exceed 41% up to 44% for 680+ FICO scores where the borrower has at least one of the noted compensating factors.  Here is the advance copy of the update: USDA Handbook 35555 Chapter 11: Ratio Analysis

 

*  *  *

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
• VanDyk Mortgage Newscast: Thursday, July 11 at 1pm Eastern
• Iron Sharpens Iron: Tuesday, July 16 @ 11am Eastern
• Production Roundtable: Thursday, July 18  @ 1pm Eastern  REMINDER: ATTENDANCE IS MANDATORY for all LPs and TCs/LOAs who perform TC functions.
• Bond Disclosure Training:  Tuesday, July 23 @ 2pm Eastern and Thursday, July 25 @ 11am Eastern

Additional Training Opportunities

• Freddie Mac has published their training offerings available in July and August. Check out the calendar here and enroll today!

 

 

 

Updating Loan Status – Save Yourself an Email!

Did you know that branches can update a loan status on the Borrower Summary screen? No need to email to withdraw or close out a file!

Check out the how-to here and try it next time you have a file that needs updating.

*  *  *

Best Practices: AskUW & Underwriting Scenarios

To provide the best service possible when it comes to your underwriting scenarios, it is a best practice to provide the loan number of the file that you are inquiring about. In addition, ensure that all documentation pertaining to the scenario is uploaded to the Encompass file – the underwriting managers do not have access to Floify.

Following these best practice will allow our AskUW team to provide a complete and accurate response (or request for additional information) so your loan file sails through underwriting without any issues.  As a reminder, for income calculation help, please have the Prism worksheet completed prior to requesting assistance – as this helps us provide any training opportunity that may present itself.

*  *  *

aiUW Updates: Enhanced Conditions

aiUW is constantly being updated with more specific conditions based on your loan program. Be on the lookout for programs-specific conditions for Vista Point loans, DPA programs, and more!

*  *  *

Running DU and Credit Credentials

When you order DU, the credit credentials entered on the submission screen (pictured below) must match the credit report type.

If you are running DU on a soft pull, DU needs your soft pull credit username and password – if it’s a hard pull, it’ll require your hard pull username and password.

If you have more than one borrower pair, each borrower pair must have the same type of credit report – otherwise, DU will not run.

*  *  *

VDMC: Closing Request Form Update

In case you didn’t notice, there’s a new box for Wind Insurance on the Closing Request:

*  *  *

25 Points