Enhancements to Simple Access

Homebridge is pleased to announce enhancements to the Simple Access program as detailed below.  These enhancements are eligible for new submissions and loans currently in the pipeline.

40 Year Interest-Only (Fixed or ARM)

A 40 year loan term with an interest only feature is now available subject to the following:

  • Eligible on the Full Doc, Bank Statement, and Asset Qualifier options (not available on Investor Cash Flow),
  • Fixed Rate Loans: Qualify using the full PITIA payment amortized over 30 years
  • ARM Loans: Qualify using the greater of:
  • The start rate, OR
  • The index plus margin amortized over 30 years
  • Transactions utilizing the 40 year IO term are limited to a maximum 80% LTV/CLTV
  • The 40 year loan term must utilize the IO feature; a 40 year loan term without IO is not offered

30 Year Interest-only (Fixed Rate)

A 30 year fixed rate with an interest only feature is also now available on all documentation options.  The borrower is qualified using the full PITIA payment amortized over 20 years.

Foreclosure Waiting Period – Bank Statement and Investor Cash Flow

The foreclosure waiting period on the Bank Statement and ICF options have been updated to align with the Full Doc option.

  • The foreclosure waiting period, measured from completion date to Note date, is now 4 years (previously 7)
  • A 3 to ≤ 4 year waiting period (previously 3 to ≤ 7) is eligible with the lesser of 70% LTV or the applicable product maximum

NOTE:  There is no change to foreclosure seasoning < 3 years being ineligible and the current foreclosure seasoning requirements for Asset Qualifier continue to apply (7 years).

The Simple Access guidelines have been updated and posted on the Homebridge website at www.homebridgewholesale.com.  Additionally, new 40 year term IO ARM disclosures have been posted on the Forms page of our website under “Simple Access Specific