HomeBridge is revising its Jumbo program offering to offer additional enhancements.
Highlights of the enhanced Jumbo program include higher loan amounts, higher cash-out amounts, 2-unit primary residences, ARMs, and to allow gift funds and subordinate financing. Additionally, a declining market LTV reduction and the requirement of an enhanced desk review no longer apply.
Jumbo loan eligible as follows:
- Loan amounts up to $2,500,000
- Purchase, rate/term, and cash-out transactions with cash-out up to $750,000
- 1-2 unit primary residence and 1-unit second home
- SFR, PUDs, condos (attached/detached Fannie Mae warrantable), leaseholds, and modular eligible
- Maximum DTI 40%/43% fixed rate transactions; maximum DTI 40%/40% ARM transactions
- Minimum credit score 700
- Maximum 80% LTV/CLTV primary residence purchase transaction
- Maximum 70% LTV/CLTV primary residence cash-out
- First time homebuyers and non-permanent residents eligible
- Maximum (4) financed properties (including the subject)
- Gift funds and gift of equity are eligible (gift funds ineligible to satisfy reserve requirements)
- Appraisals may be ordered from any of the HomeBridge approved AMCs
- Reserve requirements vary based on occupancy type and loan amount
- No major derogatory credit
- Purchase transactions loan amount > $2,000,000 and refinance transactions > $1,000,000 two full appraisals required
- 0x30 in previous 24 months mortgage/rental history all borrowers
- Subordinate financing eligible (institutional financing only)
- 15, 20, 25 and 30 year fixed rate product
- 5/1, 7/1, and 10/1 ARM product
Brokers should refer to the Jumbo guidelines posted on the HomeBridge website for complete Jumbo program eligibility requirements.
As a reminder, Jumbo loans require a manual underwrite and a manual lock.
The new guidelines are effective with submissions dated on or after November 14, 2014.
The updated guidelines have been posted on the HomeBridge Wholesale website at www.homebridgewholesale.com.
If you have any questions, please contact your Account Executive.