TO ALL: THIS SLIDE PRESENTATION IS NOT INTENDED TO
REPLACE ANY LENDER TRAINING THAT IS DONE VIA WEBINAR
for our lenders. Please note that everyone who touches the
loan must take the training. This training is not just for a
single representative of your company.
HOC will keep a record of persons who have entered the power
point and will be used to verify with eHousingPlus for your
credentials.
You will not be able to access the eHP reservation system if
you have not had training. If you are not a U.S. Bank
approved MRBP Lender and HOC approved lender you cannot
originate any loans. Contact U.S. Bank to check whether as a
corresponding lender you are approved under the U.S. Bank
MRBP program.
Help Desk Line:1-800-562-5165
E-Mail the Help Desk [email protected]
Any questions or concerns, please email Paulette Dudley,
[email protected]
2/8/2013
HOC LENDER TRAINING
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Housing Opportunities Commission
Montgomery County, Maryland
Mortgage Purchase Program (MPP)
MORTGAGE BACKED SECURITIES
Lender Training Presentation
February 8, 2013
2/8/2013
HOC LENDER TRAINING
2
Agenda
•
Welcome & Introductions
•
Change to MBS Format
•
General Information
•
Eligibility & Compliance
•
Property (General & MPDU)
•
Loan Products (Mortgage Options
& Closing Cost Programs)
•
Origination & Documentation
•
Loan Closing Requirements
• Post Closing/Loan Purchase
• eHousingPlus Online
Reservations
2/8/2013
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Mortgage Purchase Program
Web Page
www.hocmc.org
(Click on Mortgage & Financing Programs)
Updates by email through HOC NOTICES
and/or eHousingPlus Bulletin Board
and emails
2/8/2013
HOC LENDER TRAINING
4
HOC CHANGES TO MBS FORMAT

The HOC Mortgage Purchase Program converted from a
whole loan program to a Mortgage Backed Securities
Program as of August 31, 2012.

Prior to August 31, 2012, HOC purchased and retained the
loans originated in the MPP. After August 31, HOC loans
are purchased by a Master Servicer for pooling.

U.S. Bank is Master Servicer.

HOC began using an online reservation system through
eHousingPlus, Inc. on August 31, 2012.
2/8/2013
HOC LENDER TRAINING
5
Basic Process
Lender takes application
2. Reserves first mortgage (and HOC Purchase
Assistance) with eHousingPlus
3. Reserves county closing cost with HOC (if applicable)
4. Lender submits pre-closing compliance file to HOC
5. Lender approves for credit
6. HOC approves for program compliance
7. Lender closes loan
8. Lender submits post-closing file to HOC
9. Lender submits closing file to U.S. Bank
10. U.S. Bank buys loan
1.
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General Information

HOC underwrites MBS loans for program
compliance ONLY

Lender underwrites for credit that conforms
to FHA guidelines for purchase by U.S.
Bank.

Loans cannot close without HOC approval
2/8/2013
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General Information
First Mortgage Program Requirements
• US citizenship is not required
• No requirement for current Montgomery County
residency for MPP first mortgage
• No requirement for working in Montgomery County for
MPP first mortgage
• Property must be owner occupied
2/8/2013
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General Information
First Mortgage Program Requirements
• No non-occupant co-signers
• Rent back more than 30 days after settlement is not
allowed
• No more than 15% of property can be used for a
business purpose
• FHA Loans may be assumable only to another
eligible borrower
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General Information
Loan Types
All HOC loans have Thirty (30) Year Terms
FHA Loans Only
No VA Financing NOW (2-8-13)
No Conventional Financing Available
2/8/2013
HOC LENDER TRAINING
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General Information
Power of Attorney
• OK for Seller- does not require HOC Approval
• POA for Borrowers requires HOC approval prior to
settlement
o Specific for Transaction
o HOC requires at least one borrower at settlement
• Use of borrower POA should be due to circumstances
beyond borrower’s control
2/8/2013
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General Information
Homebuyers Education Class

At least one borrower in the household must attend
first time homebuyer class/training

Homebuyer Education required prior to reservation
of funds

Any certified housing counseling course accepted –
free classes offered by Housing and Community
Initiatives www.hcii.org
2/8/2013
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General Information
Home Inspections

HOC requires a Home Inspection for All Existing
Properties, Except Condo conversions with renovation
(including foreclosure sale
•
HOC does not require a copy of the full inspection
report

HOC Home Inspection Certification form
completed and signed (by borrower and LO) and a
copy of the invoice billing as evidence the
inspection was completed
2/8/2013
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General Information
Fees and Charges

HOC has no separate fees for the first mortgage

U.S. Bank/Master Servicer Fees
– Loan Funding Fee - $150.00
– Tax Service Fee - $85.00

eHousingPlus charges $225 reservation fee per loan
application that closes

County Closing Cost Assistance loan “5 for 5”
- HOC charges $100 application fee
2/8/2013
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Fees And Charges
Lender Payment Schedule
•Lender is paid upon loan purchase by U.S. Bank according
to the following schedule
TIMELINE AND PURCHASE SCHEDULE/LENDER COMPENSATION
Lender compensation applies from the ORIGINAL
loan reservation confirmation date
Compensation
2%
1.5%
1%
0%
After 150 days
# of days from reservation date
Loan Purchased within 60 days of the reservation date
Loan Purchased within 61 - 90 days of the reservation date
Loan Purchased within 91-120 days of the reservation date
Loan Purchased within 121-150 days of the reservation date
The loan will not be purchased
2/8/2013
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FHA and the
HOC Loan Product
• FHA GUIDELINES PREVAIL
• LOANS MUST HAVE FHA AND HOC APPROVAL
•
HOC sets income limits and sales price limits
•
HOC can offer closing cost/down payment assistance as
governmental entity
• Borrower Contribution – 3.5%
Can be a gift, Revolving Closing Cost Assistance
Loan if Borrower works in Montgomery County, or
HOC Purchase Assistance Loan
• Seller Closing Cost Contribution – follow FHA guidelines
2/8/2013
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Underwriting MBS Loans

Lenders will underwrite for credit according to
FHA guidelines and U.S. Bank required
guidelines.

HOC will underwrite for compliance/eligibility
prior to closing. HOC is not underwriting for
credit in the MBS program.
2/8/2013
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Credit Underwriting
•
Will be covered by U.S. Bank
•
FICO SCORE
•
Automated underwriting
•
Ratio Limits
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Eligibility/Program Compliance
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Eligibility/Program Compliance
•
First Time Homeownership
All adult occupants must be a first time homeowner.
- Prior ownership = having an ownership interest in a
primary residence anywhere during the last three years.
- Last 3 years’ federal tax return and IRS transcript for all
borrowers used to verify.
- If an applicant currently owns real estate which has not
been used as primary residence during the past three
years, the applicant may still be eligible. The Commission
will review each case INDIVIDUALLY. This needs to be
determined at the start of your application.
2/8/2013
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Eligibility/Program Compliance
•
Citizenship
Borrowers do not have to be a U.S. citizen. If other
than U.S. citizen, it will be necessary to document
status. HOC will not extend financing to borrowers
with Diplomatic Immunity
•
Sales Price (Acquisition Cost)
Cannot exceed the limits set by the Commission $429,619. HOC’s definition is different from FHA’s
definition
2/8/2013
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Eligibility/Program Compliance
•
Income:
Household income is total gross annual rate of
income for all adult members of the household,
whether used for qualifying or not. HH income
cannot exceed the limits in effect at time of loan
application.
NOTE: HOC and MPDU income limits are not the same. MPDU buyer must
not exceed MPDU income limits as of settlement.
(If a borrower appears to be over-income during the application phase or
verification process, call HOC’s underwriter so a decision can be made
before the entire file is submitted for pre-closing compliance underwriting)
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Eligibility/Program Compliance
INCOME LIMITS AND SALES PRICE
LIMITS are set by HOC
– Income Limits Effective 1/23/12
1 Person
2 Person
3+ Person
$ 89,160
$ 127,320
$ 148,540
MAXIMUM SALES PRICE: $ 429,619
2/8/2013
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Eligibility/Program Compliance
Mortgage Purchase Program – MPP
•
Borrowers do not have to be a County Resident
prior to purchase for the MPP
•
Borrowers do not have to be working in
Montgomery County to use the MPP
•
HOWEVER, a borrower must be working in
Montgomery County to be eligible for the
“5 for 5” Closing Cost Assistance (RCCAP)
•
There is no asset test for the MPP or County
Closing Cost Program.
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PRE-CLOSING COMPLIANCE
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Pre-Closing Compliance
Package Submission
Refer to MBS Pre-Closing Compliance Checklist Stacking Submission Order
•
•
The appropriate party must sign the documents after
information has been filled in.
These forms are statements of the mortgagors or sellers,
not the lender (except for the Participant’s Affidavit) and
are necessary in order to comply with bond requirements.
• Application and Origination Documents
• Mortgage Purchase Program Disclosure of Information
• Mortgagor’s Affidavit
• Certificate of Mortgagor
• FHA Notice to Buyers
• Notice of Potential Recapture Tax (one page document)
• Seller’s Affidavit
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Pre-Closing Compliance
Package Submission
 Files should be submitted to HOC’s Single Family
Underwriting Department, located at:
Housing Opportunities Commission
Mortgage Finance Division
Single Family Office
10400 Detrick Avenue
Kensington MD 20895
Attention: SF Underwriter
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HOC Pre-Closing Compliance/
Underwriting

Pre-Closing Compliance package is sent to HOC for
compliance/eligibility approval. Refer to the HOC Pre-Closing
Compliance Checklist on the eHP website or the HOC website.
-
Turn-around time in Underwriting 1-2 business days (depending on volume)
Out” basis
 HOC underwrites for compliance/eligibility prior to closing. HOC
is not underwriting for credit in the MBS program.
• Loan not considered approved until HOC has approved AND
cannot close without HOC approval
• Approval letter, pending and / or rejection notice are faxed or
emailed to the lender by HOC once the file has been reviewed.
- HOC also posts approval to eHP system under UW certification
-
Loans are underwritten on a “First in First
•
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HOC Pre-Closing Compliance/
Underwriting
•HOC issues an approval letter to close with instructions, if applicable.
HOC’s Approval Letter confirms the following:
oInterest Rate
oPoints
oApproved Loan Amount
oApproved Purchase Assistance (if applicable)
oExpiration date of your Locked Financing Terms
oTerms of Any Secondary Financing
•
Lender closes and funds the First Trust loan
HOC funds purchase assistance loan
- Purchase Assistance Loan, specific documents are
required to be sent with the pre-closing compliance package,
refer to the Secondary Financing Checklist on HOC website
•
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Pre-Closing Compliance
SECONDARY FINANCING PROGRAMS
Refer to HOC webpage for checklist
Secondary Financing Checklist
Documents Submission
HOC underwrites the Secondary Financing Programs –
submitted with the Pre-Closing Compliance Package
- CLOSING COST DOCUMENTS – required for all SF loans
- Additional documents required for specific Secondary
Financing programs
 COUNTY’S CLOSING COST ASSISTANCE PROGRAM
“5 FOR 5” REVOLVING CLOSING COST
3% PURCHASE ASSISTANCE” LOAN – FUNDED BY HOC
HOUSE KEYS FOR EMPLOYEES (HK4E)
2/8/2013 HOC LENDER TRAINING
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Property
2/8/2013
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Property

HOC accepts any property, except co-ops, in
Montgomery County (foreclosures are acceptable)

Sales price cannot exceed the limits established by HOC

Standard appraisal required

HOC requires that all resale properties receive an indepth home inspection by a qualified contractor
2/8/2013
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Property
•
Project Approval
• FHA project approval is necessary for a FHA
Loan
• HOC relies on the lender to determine if a
project has FHA approval
2/8/2013
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Property
• FHA Condominium Insurance Concentration
applies
• Investor concentration – FHA has said it will not
regard units owned by a public housing agency in
the investor category. Each situation requires
waiver from FHA
• Condominium submits request for waiver
2/8/2013
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Property
• Both market units and MPDUs - (Moderately Priced
Dwelling Unit) are acceptable
•
A MPDU is a property with a controlled sales price (sold
below market value). The county controls the sales price
based on a formula. When the owner is ready to sell, the
county government will calculate the allowable resale price.
Price control ends upon foreclosure.
•
MPDU has its own Income Limits. They are different from
HOC Income Limits
Website: www.montgomerycountymd.gov/dhca
Call: (240) 777-3711
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MODERATELY PRICED DWELLING UNIT
(MPDU)
MPDU PRE-QUALIFICATION LETTER
 Anyone wishing to enter the county’s MPDU
program is required to get a pre-qualification letter
from an HOC participating lender for a mortgage
loan of at least $120,000. This letter is a
prerequisite for the county’s acceptance of the
applicant to the MPDU program.
 The
county has created a format for the pre-qual
letter it wants the lender to use. The pre-qual letter
does not obligate the lender to making the loan.
2/8/2013
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FHA APPROVAL OF MPDU FINANCING
MONTGOMERY COUNTY ONLY
FHA deems units subject to the Montgomery
County MPDU program as eligible for FHA
insurance.
 FHA has stipulated:
a. This approval only applies to
Montgomery County’s MPDU program
b. Each lender should keep a copy of the
FHA approval letter in each loan
underwriting file.

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HOC LOAN PRODUCT
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HOC LOAN PRODUCTS

HOC SETS ITS OWN INTEREST RATES

LENDER CANNOT CHARGE MORE POINTS
THAN HOC QUOTE

HOC DOES NOT SET SETTLEMENT COSTS
2/8/2013
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HOC Loan Products
First Mortgage Interest Rate
Option 1
30 Year Fixed Rate
with 0 Points

Without Purchase Assistance
Lender Cannot charge points in excess of
HOC’s quoted rate
Interest rates and points are subject to change
2/8/2013
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HOC Loan Products
First Mortgage Interest Rate
Option 2
30 Year Fixed Rate
with
0 Points
WITH
3% Purchase Assistance
2/8/2013
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HOC Loan Products
Option 2
Refer to HOC website, www.hocmc.org
click on Mortgage & Financing Programs,
HOC First Mortgage
With 3% Purchase Assistance

Purchase Assistance is secured, secondary
financing which may be used to cover points,
down payment, closing costs, escrows, or other
prepaid expenses – no cash back.

HOC will directly fund the Purchase
Assistance loan to comply with FHA.
2/8/2013
(revised 1-24-13)
HOC LENDER TRAINING
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HOC Loan Products
Option 2

HOC Purchase Assistance Terms

LOAN AMOUNT: 3% of the sales price.
(No maximum, a flat 3% of sales price)

INTEREST RATE: Zero percent (0%) per annum

TERMS: Secured Five (5) year deferred loan effective from the
settlement date. No interest shall accrue on the Loan and no
monthly installments shall be due. Pro rata due upon sale or
refinance during first five years. The loan will be forgiven after
five (5) years.
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HOC Loan Products
Option 2

REPAYMENT: If first mortgage loan prepays within five
years of its origination, borrower is required to repay the
unamortized balance of the Purchase Assistance loan.
CANNOT BE SUBORDINATED

Purchase Assistance loan is not included in the principal
balance of the first Mortgage Loan; however, the
Mortgagor pays a higher rate of interest on the Mortgage
Loan than is paid by Mortgagors not receiving such
assistance

HOC sets the first mortgage rate specifically to be used
with the Purchase Assistance. All terms and conditions of
the HOC First Trust Mortgage Program apply
2/8/2013
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HOC Loan Products
Option 2

Borrower does not have to work in Montgomery
County to qualify for the First Mortgage loan with the
Purchase Assistance

Can be combined with the Revolving County Closing Cost
Assistance Loan “5 for 5”. BUT….the borrower must work in
Montgomery County to combine both

MAY be used with other HUD approved closing cost and/or
downpayment programs (i.e. FHLBB)
2/8/2013
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HOC Loan Products
Option 2

General Requirements

Not intended to pay off debts

NO CASH OUT– excess funds will be used as a principal
curtailment to the first loan

Seller contributions within FHA acceptable guidelines

Total debt ratio not to exceed 45%

Maximum CLTV is 104.5%

No asset test is required
All terms and conditions of the
HOC First Trust Mortgage Program apply
2/8/2013
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Housing Opportunities
Commission
Mortgagee Clause

USE FOR “5 for 5” Revolving County Closing
Cost Assistance Loan and
Purchase Assistance Loan
The Housing Opportunities Commission
Of Montgomery County, Its Successors
And Assigns As Their Interest May
Appear
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Closing Cost Assistance
2/8/2013
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Employer Identification
Number (EIN)
52-0859090
 Effective 10-1-08 lenders are required to
report to HUD the EIN of all government,
state, county, city municipalities and nonprofits providing secondary financing
assistance grants or gifts to the borrower
when receiving an FHA first mortgage.
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Closing Cost Assistance
Programs
 HOC
First Mortgage Rate with Purchase
Assistance – Option 2 (HOC Funded)
 Revolving
County Closing Cost Assistance
Program (RCCAP) – “5 for 5” (HOC funded)
 House
Keys 4 Employee (HK4E)
(State program)
(Administered and funded by HOC from “5 for 5” Closing Cost Program)
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Revolving County Closing Cost
Assistance Program
(RCCAP)
Source of Funding: Montgomery County Government
RCCAP administered by HOC
“5 for 5”
Funds disbursed by HOC,
serviced by Bogman, Inc.
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Revolving County Closing Cost
Assistance Program
“5 for 5”
•
•
•
•
Max Loan = 5% of Sales Price – up to $10,000
Secured Mortgage – second lien
10 year term at 5% - amortized over 10 years
Must be used with HOC First Mortgage
-EXCEPTION: HK4E Program used with CDA
Maryland Mortgage Purchase Program
•Allowed with FHA Financing – Direct funding by
governmental agency
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Revolving County Closing Cost
Assistance Program
“5 for 5”
• At least one Borrower or Co-Borrower MUST BE
WORKING IN Montgomery County
•Regular work location is in the county; company
headquarters does not have to be here
•Part-time means at least 20 hours/week spent working
in the county; 12 months employment history for part
time work required
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Revolving County Closing Cost
Assistance Program
“5 for 5
•Borrower applies through HOC Participating Lender
•Lender reserves funds with HOC
- Use the current “5 for 5” Reservation Form; (on HOC website)
- Email or fax to HOC --- not ehousing plus
- Lender will receive confirmation from HOC
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RESPA REQUIREMENT FOR THE
REVOLVING COUNTY CLOSING COST LOAN PROGRAM
- HOC will provide the borrower with the initial GFE & TIL for the
Secondary Financing (Revolving County Closing Cost Loan and HK4E)
- Lender must complete the “Closing Cost Good Faith Information Form”
for HOC to can get the information.
LOG ON TO: www.hocmc.org,
Mortgage and Finance Programs “FOR LENDERS”
- Print A Copy For Your File. (to be submitted w/ Secondary Financing PreClosing Compliance Package)
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Revolving County Closing Cost
Assistance Program
“5 for 5”
• $100 application fee collected from Borrower
• Automatic Withdrawal from Checking or Savings Account Required
• The loan is due at time of sale or refinancing of property.
• Subordination: will review on case by case basis – no cash out
• There is no “prepayment penalty”
• The property must be owner occupied and remain owner occupied
while the loan is outstanding
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Revolving
County Closing Cost Assistance Program
“5 for 5”
• LENDER should inform settlement agent of secondary
financing
• HOC will prepare the closing documents and Instructions to the
Settlement Attorney for the county closing cost loan
• HOC disburses funds by check to settlement
• HOC will notify settlement agent and Lender when check is ready.
Checks should be picked up by lender or settlement agent at:
HOC
Mortgage Finance Department
10400 Detrick Avenue
Kensington MD 20895
(240) 773-9193 (Liz Zadeng)
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REVOLVING CLOSING COST LOANS
Settlement Instructions
Closed Loan Submission
All Closing Cost documents are to be
returned to HOC within five (5) days
of settlement
NOT with the Post Closing Compliance
package or to U.S. Bank
• Bogman, Inc. services the county closing cost loans
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House Keys 4 Employees
HK4E
State Program- refer to flyer
•HK4E is a state program in which employers may
contribute assistance to their employees for
purchasing a first home and the state provides
matching assistance up to $3,500 (subject to MD CDA policy)
HK4E Match
SK4E “Bonus”
- $2,500
- $1,000
- Must be HOC/CDA Lender
- Must use CDA First Mortgage-Maryland Mortgage Program
- State Income limits apply
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House Keys 4 Employees
HK4E

Montgomery County is the Employer
(includes several county agencies/commissions – see list on HOC website)
•
A borrower must be County employee-(see list)
* Signed Verification of Partner Contribution by appropriate HR dept.
First time Homebuyer
 County’s participation is the RCCAP “5 for 5”
• Lender reserves HK4E/RCCAP w/HOC. All terms of the RCCAP

apply
HOC disburses the County funds
• Other documents required for an approval by HOC
•
- (refer to Secondary Financing Programs Document Checklist)
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Settlement and Loan Closing
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Required HOC Settlement
Documents
• Seller’s Affidavit
• Mortgagor’s Affidavit
• Certificate of Mortgagor
• Occupancy Addendum to Deed of Trust
• FHA Addendum to Deed of Trust
• Information Regarding Potential Recapture Tax
(most recent edition: form is revised annually)
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Required HOC Settlement
Documents Explanation
HOC FORMS TO BE COMPLETED AND SIGNED AT SETTLEMENT
• Seller’s Affidavit – Signed first at application. Signed AGAIN and
notarized at settlement – By the Seller. The ORIGINAL is
submitted to HOC with closed loan package for purchase review.
• Mortgagor’s Affidavit – Signed first at application. Signed AGAIN
and notarized at settlement. The ORIGINAL is submitted to HOC
with closed loan package for purchase review.
• Certificate of Mortgagor – Borrower(s) and adult
members of household sign. Signed first at application.
Signed AGAIN and notarized at settlement.
• The ORIGINAL is submitted to HOC with closed loan
package for purchase review.
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Required HOC Settlement
Documents Explanation
HOC FORMS TO BE COMPLETED AND SIGNED AT SETTLEMENT
• Occupancy Addendum to Deed of Trust – To Be
Recorded with First Deed of Trust
o
o
Completed, signed and notarized at closing for all HOC loans.
A copy is submitted with the copy of the Deed of Trust in the
closed loan package for purchase.
• FHA Addendum to Deed of Trust – To Be Recorded
o
o
o
Re-discloses to the borrower(s) the additional restrictions during
the lifetime of the loan as to use and occupancy as well as sale
by assumption etc. with regard to their FHA-HOC loan.
The original is recorded with the First Deed of Trust.
A copy is submitted with the copy of the Deed of Trust in the
closed loan package for purchase.
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Required HOC Settlement
Documents Explanation
HOC FORMS TO BE COMPLETED AND SIGNED AT SETTLEMENT
• Information Regarding Potential Recapture Tax
• The current edition (changes yearly) must be given to all
borrowers at settlement. This document provides them with
instructions for determination of their potential tax liability when
they sell their home.
• The borrower (s) receive a copy and the ORIGINAL is sent to
HOC with the closed loan file for purchase.
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POST CLOSING REVIEW
AND LOAN PURCHASE
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Post Closing and
Loan Purchase

Post-closing compliance review is done by HOC. Final
approval by U.S. Bank.

Closed loan files for Post closing review must be submitted
within 10 days of settlement to HOC

Lenders send the required post-closing compliance
documents to HOC, as per the HOC Post-Closing Compliance
Checklist. Refer to HOC website for the checklist

HOC will review closed loan files for completeness, advise
lender of any missing/incomplete documents

NOTE: eHousingPlus fee of $225.00 in the form of a check made
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LENDER
TRAINING
payable to eHousing Plus must accompany
the
Post-Closing
Compliance package.
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Post Closing and
Loan Purchase

A closed loan file goes to U.S. Bank, as per U.S. Bank FHA
Loan Delivery Chklist.
 Help Desk: [email protected]
 Help Desk Line: 1-800-562-5165

HOC’s post-closing compliance review and U.S. Bank’s
review of the file will be done simultaneously. Any
exceptions noted from either side will be worked through
with the lender.

HOC will notify U.S. Bank thru eHousingPlus when HOC
approves the Post-Compliance package.

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Post Closing and
Loan Purchase

When all exceptions are cleared between the lender and
U.S. Bank on the closed loan file AND HOC’s compliance
approval date is reflected in the U.S. Bank system and eHP
system, U.S. Bank will buy the loan from the lender and
commence servicing of the loan.

In order for loans to be approved and purchased, loans
must be delivered with all of the proper documents.

The First Trust loan will be purchased by U.S. Bank.

U.S. Bank will net all fees/compensation. Lender fee paid
at this time.
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HOC Contacts
Tom DeBrine, Single Family Manager
240-773-9199
[email protected]
Paulette Kee-Dudley, Program Specialist
240-773-9196
[email protected]
Gabriela Merida, Underwriter
240-773-9194
[email protected]
Liz Zadeng, Closing Cost Assistant
240-773-9193
[email protected]
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eHousingPlus (eHP)
Online Reservations
Reservations/Extensions/Cancellations

First Mortgage and Purchase Assistance Loan is
reserved with eHousingPlus (eHP), not with HOC.
Option 1 and Option 2 w/Purchase Assistance
•
Reservation window: Daily 10:00a.m to 8:00 p.m.
•
INTEREST RATE LOCK IN
• The interest rate reserved will be locked in for 60 DAYS.
Settlement must take place within 60 Days from the
Reservation Date with eHP.
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eHousingPlus (eHP)
Online Reservations

Effective 2-7-2013:

EXTENSIONS:
◦ Settlement after 60 days from the reservation date:
 a) A ONE-TIME 15 DAY EXTENSION to settle at the
SAME RATE WILL BE GRANTED, approval by HOC
and eHP needed (use Extension Form on eHP website)
 b) SETTLEMENTS BEYOND THE 15 DAYS AND UP TO
DAY 30 will be granted at the higher of the original rate
or the rate at time of extension
 c) IF SETTLEMENT DOES NOT TAKE PLACE WITHIN
THIS 90 DAY PERIOD YOU WILL NOT BE ABLE TO RERESERVE UNTIL 60 DAYS AFTER THE 90 DAY PERIOD.
eHP’s system will lock the loan if not settled within this time
frame.

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eHousingPlus (eHP)
Online Reservations
•
PLEASE NOTE: The lender compensation is based on the
ORIGINAL RESERVATION DATE and not the settlement date.
Lender Compensation Fees are affected by these extensions.
•
CANCELLATION AND RE-RESERVE:
Loans cannot be cancelled and re-reserved. A loan that
cancels can only be reserved 60 days after the expiration of
the applicable settlement date period.

There is a $225 per loan reservation fee paid to
eHousingPlus. The fee is earned only if the loan closes.
This fee will be submitted to HOC upon the delivery of the
Post Closing Compliance file required for review prior to
purchase. (Post Closing Compliance Checklist should be followed)
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eHousingPlus System Training
Offered on a weekly basis every Friday
LEARN HOW TO
•Register a loan
•Check your pipeline
•Apply for user credentials
•Find the current rate in the program
•Navigate eHousingPlus Lender Portal
Click on this link: http://ehousingpl.us/hoc
Then click on the TRAINING tab (see below) to register for system training
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MBS Program
General Information

U.S. Bank is HOC’s master servicer for the
MBS program

U.S. Bank will purchase and retain loans
from HOC participating lenders

U.S. Bank will securitize loans for HOC
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Lender Training Presentation - Housing Opportunities Commission