Travis County Housing Finance Corporation Hill Country Home Down Payment Assistance Program

Transcription

1 ! Travis County Housing Finance Corporation Hill Country Home Down Payment Assistance Program ehousingplus Administrator s Guidelines Dated 12/16/14 Revised 12/10/18 UPDATES are shown on Page 4!

2 Travis County HFC Hill Country Home DPA Program Administrator Guidelines Page 2 Time Zones ehousingplus offices are all located in the Eastern Time Zone.

3 Travis County HFC Hill Country Home DPA Program Administrator Guidelines Page 3 TABLE OF CONTENTS UPDATES 4 TRAVIS COUNTY HFC 6 WHO TO CONTACT 7 THE PRODUCTS 8 FIRST MORTGAGE RATE WITH ASSISTANCE GRANT 8 THE REQUIREMENTS 10 BORROWER REQUIREMENTS 10 Minimum Credit Score 10 PROPERTY REQUIREMENTS 10 ELIGIBLE AREA 11 FINANCING FACTS 12 SUMMARY OF THE COMPLIANCE ORIGINATION PROCESS 14 REQUEST DOWN PAYMENT ASSISTANCE FUNDS 15 ehp Digital Docs 16 PROGRAM TIMETABLE 22 Loan Processing, Delivery and Purchase Timetable 22 PROGRAM FEES 23 FIRST MORTGAGE FEES 23 LENDER COMPENSATION 24 PROGRAM FORMS 25 DOCUMENTS REQUIRED FOR COMPLIANCE FILE 25

4 Travis County HFC Hill Country Home DPA Program Administrator Guidelines Page 4 UPDATES Date Update (effective immediately for new reservations unless otherwise noted) Page DPA Funding Process finalized Income Limit Increased for loans reserved on or after Added Contact Directory 6 & Added 1003 and Tax Returns to Program Features Reformatted Compliance Process Reformatted ehp and US Bank Program Fees Reformatted Documents Required for Compliance File Added ehp fee information & revised US Bank fees Added disclaimer regarding not reproducing program forms Product Chart Added Manual Underwriting Revised Manufactured Housing Revised Additional DPA options available effective 4/18/16 Revised Income Limit for loans reserved on or after 4/18/ Clarified ehousingplus Fees Added a purchase price limit Added program end date Revised Who To Contact directory Added Agency & US Bank overlay to Borrower requirements Added US Bank overlay to Tax Transcripts Revised US Bank Tax Service Fee Revised US Bank Web Site link Revised income and purchase price limits Revised Rates/Offerings Chart Added Freddie Mac HFA Advantage conventional loan to guidelines various pages Revised AIS Grant amount effective 04/23/18 Revised US Bank tax service fee effective 04/30/18 8, 14, 15, Revised AIS Income limits effective 07/29/ Revised income limit effective 08/10/18 Added Freddie Mac to lender compensation 9 19 Continued on next page

5 Travis County HFC Hill Country Home DPA Program Administrator Guidelines Page 5 Date Update (effective immediately for new reservations unless otherwise noted) Page Changed ehousingplus Lender Portal to ehportal Removed screen shots of ehportal for AIS Grant reservation Added language for a lender to contact Freddie Mac regarding ownership of other property Added Mortgage Insurance language under DTI Requirement Added ehp Digital Docs Throughout , 16-20, 22, 24

6 ! Travis County HFC Hill Country Home DPA Program Administrator Guidelines Page 6 TRAVIS COUNTY HFC HILL COUNTRY HOME DPA PROGRAM TEAM Travis County HFC Creates and directs implementation of the first mortgage and down payment assistance programs, sets the interest rate, term and points, provides down payment assistance and markets the program. Participating Lenders Take applications, reserve in their own systems, process, underwrite, approve, fund, close and sell qualified loans to the program. Lenders are responsible for servicing program loans in accordance with Agency (FHA, VA, RHS) requirements until they are purchased by the Master Servicer. U.S. Bank Master Servicer Provides information on acceptable loan products and delivery and funding first mortgage, receives all first mortgage files, reviews first mortgage files, notifies lenders of first mortgage file exceptions, approves first mortgage files, purchases pools and delivers loans, delivers certificate. ehousingplus Program Administration Maintains the program reservation system, websites, and posts Administrator s Guidelines, forms, training materials, provides program and system training, answers program and system questions, receives compliance files, reviews, posts and notifies of exceptions and approves compliance file.

7 Travis County HFC Hill Country Home DPA Program Administrator Guidelines Page 7 Question General Program Compliance Questions Assistance with ehportal Assistance with User Credentials for ehportal Update an Underwriter Certified Loan Direct Questions to: ehousingplus (ehp) ehousingplus (ehp) ehousingplus (ehp) WHO TO CONTACT Contact Information support@ehousingplus.com (954) support@ehousingplus.com Ashlynn Mosher (954) ext 261 ashlynne.mosher@ehousingplus.com Anyone at ehp Compliance Office services@ehousingplus.com Program Training ehousingplus (ehp) Click on this link to attend Program training. Program Training Issues ehousingplus (ehp) support@ehousingplus.com System Software Training for ehp Lender Portal ehousingplus (ehp) Click on this link for the once weekly Live Webinar: System Software Issues ehousingplus (ehp) support@ehousingplus.com Program Rates ehousingplus (ehp) Click on this link: to view the Travis County HFC Program ratethen click on the RATES tab. Credit Underwriting questions Questions regarding the shipping of closing loan files Participating Lenders need to refer to internal Underwriting Department or Manager ehousingplus (ehp) for questions regarding the program compliance file US Bank does not re-underwriter loans. For general questions, contact US Bank at hfa.programs@usbank.com or Option 2 (for general questions) Please note: US Bank answers underwriting questions from the underwriter of a lender for whom US Bank provides underwriting services ONLY. services@ehousingplus.com Questions regarding exceptions US Bank for questions regarding the first mortgage closed loan file ehousingplus (ehp) for questions regarding exceptions on the program compliance file US Bank for questions regarding exceptions on the first mortgage closed loan file hfa.programs@usbank.com Debbie Kerr debbie.kerr@ehousingplus.com X216 hfa.communications@usbank.com

8 Travis County HFC Hill Country Home DPA Program Administrator Guidelines Page 8 THE PRODUCTS Please note that mortgage interest rates and assistance grant percentages are subject to change at any time. With respect to reserved loans, the rate and assistance will not change as long as loans are delivered according to the timetable included in this Guide. Current program mortgage interest rates are available in the reservation system. All loans will be 30- year, fixed, assisted rate loans and are fully amortizing. DAILY RATE LOCK RESERVATION AVAILABILITY Reservations in this program are available Monday - Friday 9:00 a.m. - 7:00 p.m. Central Time excluding holidays. There is one first mortgage rate option available in the program. MORTGAGE PRODUCTS (Effective 04/02/18) The following mortgage products are offered in this program: FHA VA USDA Rural Housing Service (RHS) Loans Freddie Mac HFA Advantage conventional loan U.S. Bank provides the types of government loans permitted. It is expected that lenders have reviewed some preliminary documentation and believe that applicants will also qualify for credit. Excessive cancellations will be reviewed to assure that program funds are not being utilized inappropriately. FIRST MORTGAGE RATE WITH ASSISTANCE GRANT The borrower receives a 30-year, fixed rate, fully amortizing first mortgage loan with 360 level monthly payments as well as an assistance grant payment equal to a percentage of the note amount to apply toward down payment or closing costa percentage of the Note amount. Current rates and assistance are available online within the system. See next page for products that will be offered in this program effective Certain income limits and purchase price maximum amounts apply. ASSISTANCE GRANT The Assistance is calculated on the Note amount. Travis County HFC advances the Assistance at closing. See directions for completion and delivery of Wire Requests to guarantee timely delivery of Assistance to closing. The Assistance may be used for down payment (including in excess of the any Agency required minimum) and/or closing costs and prepaids and does NOT include payoffs or similar items. While there is no cash back in this program, the borrower may be reimbursed for any overpayment of escrow to the extent permitted by Agency (FHA, Freddie Mac, Etc.) guidelines. Remember to document your files. Because the Assistance is a fixed percentage, any remaining Assistance must be applied as a principal reduction. Assistance is in the form of a non-repayable grant. It is not repayable under any circumstances. When the first mortgage is reserved, the Assistance is automatically reserved. There is no additional reservation necessary. When loans are closed, there are no second mortgages, second notes, deed restrictions or liens. There is no repayment of the Assistance unless there is fraud or similar circumstances. (Rev. 9/23/15)

9 Travis County HFC Hill Country Home DPA Program Administrator Guidelines Page 9 Travis County HFC Affordable Income Subsidy (AIS) Grant Freddie Mac HFA Advantage Loan ONLY Borrowers using the Freddie Mac HFA Advantage Loan that meet specific income limits may be eligible for additional funds to help with down payment and closing costs. The income limits are determined by the county location of the home. Effective with new loan reservation 04/23/18 and after, borrowers at or below 80% of the Area Median Income Limits as published by Freddie Mac are eligible for an additional grant in the amount of $1,500 and Borrowers at or below 50% AMI will receive an additional grant of $2,500. The Travis County HFC AIS Grant is reserved in the ehportal using the ADDITIONAL LOAN tab after the first mortgage is reserved. The Travis County HFC AIS Grant will be provided at closing by the Lender. The Travis County HFC AIS Grant funds must be used for down payment and closing cost assistance only. Upon purchase of the loan, US Bank will reimburse the Lender for all qualified subsidies. The Travis County HFC AIS Grant must be reflected on Page 3, Section L of the CD as: Travis County HFC AIS Grant. This Travis County HFC AIS Grant must be reflected in DU or LP findings, along with the second mortgage provided by the Hill Country Home Program. Any questions about the preparation of the CD should be directed to US Bank HFA Division. RATES/OFFERINGS CHART Effective with new loan reservations dated 04/02/18, the following products will be available in this program. SOME rate/offerings may not be available on any given day: LOAN PRODUCT FICO REQUIREMENT ASSISTANCE AMOUNT USDA-RD or VA % FHA % FHA % Freddie Mac HFA Advantage % Freddie Mac HFA Advantage % Freddie Mac HFA Advantage % USDA-RD or VA 640 5% TEMPORARILY SUSPENDED FHA 660 5% TEMPORARILY SUSPENDED FHA % TEMPORARILY SUSPENDED

10 Travis County HFC Hill Country Home DPA Program Administrator Guidelines Page 10 THE REQUIREMENTS BORROWER REQUIREMENTS There is no first-time homebuyer requirement in this program. Borrowers must follow Agency (FHA, VA, USDA: RHS, Freddie Mac) guidelines regarding ownership of other property. Follow Agency (FHA, VA, USDA-RD, Freddie Mac) and U.S. Bank guidelines for non-citizens. Buyers must occupy the property within 60 days of closing. Applicants must be considered irrespective of age, race, color, religion and national origin. Contact ehousingplus or ) with questions regarding eligibility. For questions that may affect purchase eligibility, please consider asking the question in writing so that you receive a written response that may be printed and put in your file. Minimum Credit Score The program requires a minimum credit score (mid score must be at least the minimum). Different minimums apply to different products as shown on the previous page. If Agency guidelines (FHA, VA etc) or a participating lender s own requirements, are higher, then the highest requirement must be used. (Rev 12/01/15) DTI Requirement The program maximum DTI ratio is 45% for all loan products. Contact US Bank HFA Division with any questions regarding acceptable AUS, Lenders must comply with Mortgage Insurance DTI requirements which may limit the maximum DTI for borrowers with a FICO under 700. (Rev 12/10/18) CALCULATION OF INCOME Both Hill Country Home Program loans and Travis County HFC AIS Grant loans. Use income shown on the 1003 Only the income shown on the INCOME LIMIT - Hill Country Home DPA Program (Rev 08/04/18) Loan reservations 08/10/18 and after $120,400 (all household sizes) INCOME LIMIT - Travis County HFC AIS Grant loans (Rev 07/29/18) 80% of AMI Limit - $ 68,800 50% of AMI Limit - $ 43,000 PURCHASE PRICE LIMIT (Effective with new loan reservations 06/16/17) Both Hill Country Home Program loans and Travis County HFC AIS Grant loans. $332,470 This total must include everything paid by the buyer and on the buyer s behalf. PROPERTY REQUIREMENTS New or existing, 1-4 units*, detached or attached, condos, town homes, manufactured homes that meet servicer/insurer/guarantor requirements. Homes are considered new if never previously occupied. Mobile, recreational, seasonal or other types of vacation or non-permanent homes are not permitted. Land may not exceed the size required to maintain basic livability. Properties purchased in the program must be residential units. Lender should contact the Agency (FHA, VA, RD, Fannie Mae, Freddie Mac) regarding ownership of other property. (Rev 12/10/18)

11 Travis County HFC Hill Country Home DPA Program Administrator Guidelines Page 11 HOMEBUYER EDUCATION Required only for first-time homebuyers. Buyers may choose any HUD-approved education course or the online MGIC course. Some HUD-approved education providers offer an online course through ehomeamerica. See for a list of local providers. ELIGIBLE AREA Properties located anywhere within Travis County, including the City of Austin. Properties that are in the City of Austin but in Williamson County are not eligible. (Added 9/23/15)

12 Travis County HFC Hill Country Home DPA Program Administrator Guidelines Page 12 FINANCING FACTS It s expected that lenders have reviewed some preliminary documentation and believe that applicants will also qualify for credit. Excessive cancellations will be reviewed to assure that program funds are not being utilized inappropriately. FHA, VA, RD and Freddie Mac HFA Advantage conventional loans are permitted. Find the specific government and conventional loan products permitted on the US Bank website. (Added 04/02/18) Check with your underwriter for updates to information for Freddie Mac HFA Advantage. Such information is provided by a third party (i.e. Freddie Mac, U.S. Bank, etc) who do not provide updated information to ehousingplus. (Added 04/02/18) Freddie Mac HFA Advantage Fact Sheet: hfa_factsheet.pdf (Added 04/02/18) Appraisal must indicate that the home has at least a 30 year remaining useful life. Assumptions - follow Agency guidelines. Buydowns - follow Agency guidelines. Cash Back to the borrower is NOT permitted. However, borrowers are permitted a reimbursement of prepaids and overage of earnest money deposit as permitted by Agency guidelines and to the extent any minimum contribution, if any, has been satisfied. Construction to perm is NOT permitted. Co-signors permitted for FHA loans. Follow FHA guidelines for credit purposes. Cosigners cannot reside in the property being purchased and cannot have ownership interest in the property. Co-signors are not permitted for Freddie Mac HFA Advantage loans. (Added 04/02/18) Final Typed Loan Application (1003) - The typed application signed and dated by all parties is required. Loan interviewer must complete and sign page 3 of 4 of the If this is not possible, then an Officer must sign in place of the interviewer. All persons taking title to the property must execute all program documents. The purchase price, loan amount, and other financial details must be the same as shown on all other documents. Manual Underwriting - See U.S. Bank bulletin but with new reservations as of December 1, 2015, no FHA loans may be manually underwritten. Rev Manufactured Homes - As of December 1, 2015, U. S. Bank will not purchase loans for manufactured housing. U.S. Bank considers manufactured housing to be a mobile home built entirely offsite on a permanent chassis that is pulled on the highway to a permanent location. Modular, panelized or prefabricated homes are not considered manufactured housing. Rev Minimum loan amount. There is NO minimum loan amount in this program. Prepayments. The first mortgage may be prepaid at any time without penalty.

13 Travis County HFC Hill Country Home DPA Program Administrator Guidelines Page 13 Recapture Tax. There is no Recapture Tax in this program. Refinances are not permitted in this program. However, a temporary, bridge or construction loan with a term of 2 years or less may be taken out with a program loan. Remaining reserves are NOT established by the program. Follow Agency Guidelines. Tax Returns or Tax Transcripts - Not required for program compliance purposes. However, contact US Bank HFA Division regarding any overlays. (Added 05/19/17)

14 Travis County HFC Hill Country Home DPA Program Administrator Guidelines Page 14 SUMMARY OF THE COMPLIANCE ORIGINATION PROCESS (Revised 12/10/18) MANDATORY PROGRAM TRAINING Lender training is mandatory for anyone working with this program. ehousingplus and US Bank provide program training online 24/7. To attend click on this link. ehousingplus ehportal and ehp Digital Docs Training We highly encourage anyone who will reserve funds, complete an underwriter certification, print forms or clear exceptions to attend this additional training. (Rev 12/10/18) Click here for ehportal Training Click here for ehp Digital Docs Training ehportal USER CREDENTIALS Following completion of Program training at ehp University training, an will be sent to lenders giving directions on how to apply for User Credentials for the ehportal. These instructions are for both new users of system and existing users looking to add programs to their profile. QUALIFY Lenders use program requirements to qualify applicants for the program. Buyers must present an executed sales agreement before being entered into the program reservation system. RESERVE FIRST MORTGAGE FUNDS (INCLUDES PROGRAM GRANT) To reserve funds, use the ehousingplus ehportal. Log in and reserve the first mortgage that also automatically reserves the grant Assistance. You will receive a loan number and a message that you ve completed the reservation successfully. IMPORTANT - A reservation is for a borrower with a real estate purchase contract for a specific property. If the property needs to change, the loan must be cancelled and re-reserved. The lender is responsible for cancelling the loan within the ehousingplus Lender Portal. And then, the lender must (services@ehousingplus.com) or call the ehousingplus Compliance office at to have the borrower permanently removed from the ehousingplus Lender Portal. Until this process is complete, the lender will not be able to re-reserve funds for the borrower. (Revised 04/02/18) RESERVE AFFORDABLE INCOME SUBSIDY (AIS) GRANT INCOME QUALIFIED FREDDIE MAC HFA ADVANTAGE LOAN ONLY To reserve the Affordable Income Subsidy Grant funds, immediately following the first mortgage loan reservation, click on the Add Additional tab. The lender will be responsible for calculating the amount of the additional subsidy based upon borrower AMI (view AMI limits on page 10 ) and enter that amount in the ADDITIONAL LOAN tab. The subsidy must be for the exact amount ($1,500 or $2,500) based upon borrower AMI - no more and no less.

15 Travis County HFC Hill Country Home DPA Program Administrator Guidelines Page 15 PROCESS Lenders process the loan as they would normally keeping in mind the program timelines. UNDERWRITE AND CERTIFY Lenders underwrite & are responsible for credit decisions of the loans in the program. Servicer does not re-underwrite loans. Following credit approval AND WITHIN 15 DAYS OF LOAN RESERVATION, the Underwriter completes the online Underwriter Certification within the ehportal. Once a loan is Underwriter Certified no further changes can be made. If a change needs to occur after the certification is complete, please (services@ehousingplus.com) or call the ehousingplus Compliance office at to request to have the certification removed. REQUEST DOWN PAYMENT ASSISTANCE FUNDS Minimum of Two (2) Business Days Prior to Loan Closing Date DPA funds MUST be provided directly to the Closing Agent by Travis County HFC. advance these funds. These requirements apply to all loan types. Lenders may not Once a loan has received final credit approval internally, the Lender s Underwriter will execute the Underwriter s Certification online. AFTER the Underwriter Certification has been completed, and with a scheduled closing date, the Lender s authorized representative completes the DPA Requisition form available in the ehportal, under LOAN FORMS. The form must be printed, signed, and scanned in.pdf format. Two business days (2) days prior to date of closing DPA Grant is to be wired, completed form to: Andrea.Shields@traviscountytx.gov AND Karen.thigpen@traviscountytx.gov Please make sure that instructions are provided to internal Processor/Closer and to the Title Company/Closing Agent. If the Mortgage Loan closing does not occur, or if the DPA Grant funds otherwise must be returned to the Authority, please have such funds returned to the Authority WITHIN 1 BUSINESS DAY OF THE ORIGINAL CLOSING DATE using the following wire instructions. Bank of Texas ABA: Acct Name: Trust Funds Account Number: Attn: Courtney Miller F/c: Travis Co HFC DPA Escrow Acct

16 Travis County HFC Hill Country Home DPA Program Administrator Guidelines Page 16 NOTE: The Lender will be required to repay the DPA Grant to the Authority if the mortgage loan is not ultimately pooled into a GNMA Certificate sold to the Authority under the program. Please make sure that the following addresses are added to your white lists/contacts as s related to the DPA Requisition may be sent: Andrea.Shields@traviscountytx.gov AND Karen.thigpen@traviscountytx.gov CLOSE It s important to provide accurate closing instructions to closing agents. All program documents must be returned to the lender. The following forms are located within the ehportal and must be signed by the borrower at closing: Notice of Down Payment/Closing Cost Assistance Grant Letter (the Original remains with Lender, provide a copy to borrower, copy to US Bank and a copy in the FHA Case Binder. CLOSE - BORROWER RECEIVING TRAVIS COUNTY HFC AIS GRANT The lender will fund the additional Travis County HFC AIS Grant grant at closing. It is critically important that the lender does NOT combine the Grant assistance received from the Hill Country Home Program with the Travis County HFC AIS grant on the CD. The Travis County HFC AIS Grant must be reflected on Page 3, Section L of the CD as Affordable Income Subsidy. This AIS Grant must be reflected in LPA findings, along with the Grant provided by the Travis County HFC Hill Country Home Program. Any questions about the preparation of the CD should be directed to US Bank HFA Division The Travis County HFC AIS Grant must be used for down payment and closing cost assistance only. (Revised 04/17/18) COMPLIANCE FILE DELIVERY INSTRUCTIONS All compliance files are uploaded directly to ehousingplus via ehp Digital Docs. All exceptions / file deficiencies will be communicated to the Lender via and will be posted in the ehportal. Exceptions may be viewed online at the loan level and in an exceptions report. Documentation requested to clear file deficiencies are uploaded directly in ehp Digital Docs. (Added 12/10/18) ehp Digital Docs See pages of this guide for detailed information about ehp Digital Docs. (Added 12/10/18)

17 17 NEW INSTRUCTIONS FOR THE DELIVERY OF COMPLIANCE FILES, FEES AND CORRECTED DEFI S. Effective December 10, 2018 Compliance Files and Corrections to previously submitted files with erroneous or missing required documents will be managed through the NEW ehousingplus Digital Docs Portal. This NEW Portal provides lenders with all the tools necessary to deliver the required documents for the approval of the originated loan(s) in their respective affordable homebuyer programs. This Portal is a secure, easy to use and efficient way for lenders to deliver the Compliance File, Correct DEFI s and pay the required Compliance Review Fees via our new ehpay on line fee approval, and related tools. Who needs Access to ehp Digital Docs? Closers, Post-closers, Shippers, Defi/Exceptions and Accounting personnel. FIRST STEPS HELPFUL TIPS FOR UPLOADING THE COMPLIANCE FILE The site works best with the Google Chrome browser. All other browsers may encounter problems. If you cannot remember your password, you can reset from the ehp Digital Docs log in screen. You will need a Username and Password to access ehp Digital Docs a. If you are already an existing Active User of the ehportal Lender Portal, you will automatically be set up to use ehp Digital Docs. Your Username and Password will be the same, but you may be prompted to change the password if it does not meet security guidelines. b. If you are NEW to any of the ehousingplus Portals, you will need to request User Credentials at NEXT, ACCESS THE NEW EHP DIGITAL DOCS PORTAL As a participating lender to various programs, you already know that our website at is where you access both Program Info and the Systems. Click on the PROGRAM Tab and select the desired Agency s available Program(s). New Digital Delivery Instructions ehp Digital Docs ehousingplus

18 18 There are two icons you will immediately see: o This is the existing Lender Origination Portal o This is the NEW ehp Digital Docs Portal. NOW YOU ARE READY TO DELIVER YOUR COMPLIANCE FILE The Compliance File should be a PDF file composed of all required documents on the Checklist. Ø By clicking NEW UPLOAD on the Digital Docs Menu, you will be able to upload the file easily. Ø Currently, there are three file types you will upload into the new DD Portal: Compliance Files, DEFI s, and/or pre-closing documents as required. Additional uploads after the Compliance File are identified as Defis. Ø There is a NOTES Feature in case there is any pertinent information you want to add to the compliance documents. Ø Once Submitted, the System will confirm that the document was uploaded successfully, or it will present an error. Ø All Files Uploaded, can be seen immediately in UPLOADED DOCS. Ø All documents must be a PDF format and must not be locked or encrypted. Ø Documents must be uploaded upright and in a clear legible format. Ø Use the Checklist to make sure you are delivering al required documents. AND SUBMIT THE REQUIRED COMPLIANCE REVIEW FEE Ø Compliance Review Fees may now be submitted separately from the Compliance File. Ø The NEW ehpay is a secure, efficient method for lenders to pay the fees ON- LINE by enrolling in this FREE Program. Loans managed through ehpay are processed faster, without fee errors or other unnecessary delays. Accounting Staff can access ehp Digital Docs and process the compliance fees payment easily via ehpay. New Digital Delivery Instructions ehp Digital Docs ehousingplus

19 19 TIPS Not sure of the required fee for your loan? Use the FIND MY FEE feature under PAYMENT CENTRAL and get the instant answer. Ø Compliance Files Uploaded are NOT ready for review until the Compliance Review Fee Payment has been received by ehp. Ø FILES PENDING PAYMENT lists Compliance Files that have been uploaded successfully, but whose fee payment is still pending. Lenders can monitor this area to ensure their fees have been delivered in a timely manner. Ø UNIDENTIFIED PAYMENTS are payments received from your company without the proper identification to apply it to the intended loan. Lenders can monitor this area to ensure that payments made are being properly identified with OUR LOAN NUMBER. Ø SHORT PAYMENTS If an incomplete payment is submitted, it will be displayed indicating the amount paid and the correct fee amount. Ø Sign up for ehpay. This is a secure solution for the payment of fees. Talk to one of our ehousingplus Business Representatives about how you can sign up, and to answer any questions related to this new service Ø Make sure that every payment made is properly identified with OUR LOAN NUMBER. This is particularly a problem with Wires and ACH payments, as well as bundled payments. ACH/Wires do not properly identify loans in most cases and hold up the processing of your loans! Ø If submitting a paper check, print the INVOICE/RECEIPT. You can submit the fee for one or several loans at one time by attaching this receipt to your check. NOT QUITE READY TO UPLOAD YOUR COMPLIANCE FILES? During this initial transition of delivering Compliance Files Digitally on our NEW ehp Digital Docs portal, ehousingplus will continue to accept paper Compliance Files from those lenders that need a little extra time. If you are sending the paper files, please continue to ship them as you currently do to: ehousingplus 3050 Universal Boulevard, Suite 190 Weston, FL WE trust that you will soon be utilizing all the new features that have been developed to make the delivery of Compliance Files easier and less costly via our NEW ehp Digital Docs portal available for you, the participating lenders. New Digital Delivery Instructions ehp Digital Docs ehousingplus

20 20 CORRECTING DEFICIENT FILES ü AS OF 12/10/2018 CORRECTED LOAN DEFICIENCIES WILL NO LONGER BE ACCEPTED VIA . The ehportal (Lender Origination Portal) has various tools that alert lenders when a Compliance File is delivered DEFICIENT. These multiple tools assist you, the lender, in easily correcting these deficiencies and allow your file to be Compliance Approved in a timely manner. Ø System generated DEFI s sent at time of review with corrective actions. Ø Loan s TIMELINE Tab depicts pending deficiencies ANYTIME you log in and view your loan. Ø EXCEPTIONS/DEFICIENCY Reports are available on the REPORTS Menu. WHEN YOU ARE READY TO SUBMIT YOUR CORRECTED DEFI S OR MISSING DOCUMENTS NEW: The Corrected DEFI s will now be submitted and UPLOADED via ehp Digital Docs, using the same easy method the Compliance File is delivered. Log in to ehp DIGITAL DOCS Search for your loan NEW UPLOAD: select your file(s), and if prompted select Corrected DEFI as Type. The NOTES Feature is available to add any relevant information if needed. YOU RE DONE! Defi s may be uploaded as a lender receives a document. Corrected Defi s may be view in ehp Digital Docs under, Uploaded Docs. QUICK TIPS Ø Save time by trying to consolidate corrections to your loan files. Ø Working on DEFI s might be easier if grouped by loan & Program; typically, the same types of errors occur based on varying Program Criteria. Ø Use the reports available on the ehportal (EXCEPTIONS/DEFICIENCIES) as a guide and deliver them easy using ehp Digital Docs. New Digital Delivery Instructions ehp Digital Docs ehousingplus

21 Travis County HFC Hill Country Home DPA Program Administrator Guidelines Page 21 SUBMIT MORTGAGE FILE & CREDIT PACKAGE TO SERVICER The Mortgage File including Credit Package and it is sent to US Bank. The US Bank Delivery and Funding Checklist is found within the US Bank web site. To locate the US Bank Checklist click on this link: Click on US Bank Lending Manuals. Pop-up box will appear, click on Continue. Web page will be redirected to US Bank All Regs site. Click on Housing Finance Authority folder. US BANK notifies lenders of Exceptions, posts exceptions online and sends a weekly summary of outstanding exceptions. APPROVALS Following approval of Compliance File by ehousingplus, lenders are notified and reminded of the purchase deadline.

22 Travis County HFC Hill Country Home DPA Program Administrator Guidelines Page 22 PROGRAM TIMETABLE Buyers must have a fully executed sales contract for a specific property in order to have funds reserved. The contract may be dated prior to the date of the loan application. Buyers may be prequalified. However, if the buyer does not have a contract on a property, program funds cannot be reserved for the buyer until such time as the buyer presents a valid contract. To assure that loans are purchased, please follow the Processing, Delivery and Purchase Timetable below. Please DO NOT reserve loans that cannot meet the timetable. This is particularly important with respect to new construction, foreclosures and short sales. Please wait to reserve funds. Loans not purchased within the timeframe below, may not be accepted for purchase. Loan Processing, Delivery and Purchase Timetable Please wait to reserve funds until certain that the loan will meet the calendar below. Once a loan is reserved in the ehousingplus system and is provided the Servicer s Loan number, the loan must be: 1. Underwriter certified within 15 days of loan reservation; 2. Closed and delivered to the Servicer within 45 days of loan reservation; and 3. Purchased within 70 days of loan reservation. Any loan not purchased within 70 days is ineligible for purchase unless the lender chooses a onetime only 30-day extension. The cost of the extension is $375. The extension fee is due whether or not loans are ultimately delivered and/or purchased. The extension fee will be netted by the Servicer when loans are purchased. If an extension is permitted, but the loan is not purchased, the originating lender will be billed for the extension fee. Any outstanding fees owed by the Lender may result in that Lender becoming ineligible to participate in the program. At 101 days, a loan that hasn t been delivered is cancelled. Reinstatement is not guaranteed and, if allowed, is subject to additional penalties in addition to the extension fee. Again, the extension is offered once per loan and no further extensions will be allowed. Furthermore, regardless of choosing an extension, any loan not purchased within the approved timeframe may become the liability of the originating lender, including any down payment assistance provided at closing. An extension request is available on the Travis County HFC web page at See Summary and find Extension. The Extension Request form is completed and submitted online. Remember that the form must be submitted BEFORE the 70th day following loan reservation. The program end date is December 31, (Added 01/26/17)

23 Travis County HFC Hill Country Home DPA Program Administrator Guidelines Page 23 PROGRAM FEES FIRST MORTGAGE FEES The lender may charge a total of 1.50% as Origination and/or Discount. It may be called either or split and charged as both BUT in total can t exceed 1.50%. The buyer or seller are permitted to pay the fees if permitted by Agency (FHA, VA, RHS) Guidelines. No additional origination or discount fees are allowed. ehousingplus Fees The program includes a first mortgage Compliance/Admin Fee of $250 and a penalty fee of $100 for files that are chronically deficient. The Compliance/Admin Fee is submitted with the Compliance File. Read pages of this guide for information about Payment Central located in ehp Digital Docs. (Rev 12/10/18) The Compliance/Admin Fee is the fee charged by the Program Administrator/Compliance Agent to process the applicant/borrower from Origination to Compliance Approval, and to assess that the lenders originating such loans are following Program guidelines for the benefit of the eligible borrower(s). The Program Administrator/Compliance Agent tracks the loan via its web-based system, and assists the lender in processing the loan ensuring eligibility to the program available offerings, which can include various rate options, and down payment assistance. (Added 10/14/15) The Compliance/Admin fee includes the review of information and documents delivered in the form of a Compliance File by the originating lender, on behalf of the borrower. Additionally the Compliance review verifies that the lender has charged only the fees allowed by the Program. Contrary to this, approval may be denied and/or fees may have to be reimbursed to the borrower. The compliance file processing consists of required affidavits, application, closing documents, certain non-mortgage documents, tax returns where applicable and other pre-defined Program documents that are disclosed to the potential borrower(s). This is required to ultimately receive Compliance Approval. These documents can support both the first mortgage and any down payment assistance available, and are required to ensure eligibility to the Program, Federal, State and Local requirements, where applicable. The Compliance review verifies that the data and documents submitted meet all requirements, and may include those for first-time homebuyer, income limits, sales price limits, targeted areas, homebuyer education, rate, term, points, fee limits, LTV, FICO score, special state, city, county program requirements for qualified military, first responders, teachers, etc.). (Rev 08/22/16) US Bank Fees $80 Tax Service Fee and $400 Funding Fee. These fees will be netted out at time of purchase by US Bank. (Rev 04/16/18)

24 Travis County HFC Hill Country Home DPA Program Administrator Guidelines Page 24 LENDER COMPENSATION Total lender compensation is the1.50% origination/discount fee and 1.00% SRP for a total of 2.50% for FHA/USDA-RHS and Freddie Mac loans and.50% SRP for a total of 2.00% for VA loans. (Rev 08/04/18) Lenders are permitted to charge reasonable and customary charges for out of pocket expenses and costs. Other financing costs such as legal fees and underwriting fees may be charged and courier fees may be charged if such fees are normally charged. Lenders may charge the usual and reasonable settlement costs. Settlement costs include titling and transfer costs, title insurance, survey fees or other similar costs. Other allowable fees include doc prep fees, notary fees, hazard, mortgage and life insurance premiums, recording or registration charges, prepaid escrow deposits and other similar charges allowable by the insurer/guarantor. "Junk" fees are not a defined term and may not be charged. Excessive fees are not permitted in the program. Ancillary fees collected may not exceed the amount collected on the Lenders similar non-program loans.

25 Travis County HFC Hill Country Home DPA Program Administrator Guidelines Page 25 PROGRAM FORMS The program forms MUST generated directly from the ehousingplus Lender Portal at the loan level. The program forms MUST be printed from the ehousingplus ehportal ONLY. Any program forms printed anywhere other than the ehportal will be deemed void and may cause a loan file to not be purchased. This topic addresses the specific forms required for the program for originating, processing, closing and loan delivery. PRE-CLOSING DOCUMENTS Extension Request Form An extension request is available here. Click on the SUMMARY tab and scroll down to the area titled - EXTENSION. The extension request will be completed and submitted online. DPA Grant Requisition Form Underwriter Certification must be completed prior to submission of the Requisition Form. Requisition Form is available in the ehportal behind security, click on this link.. The CLOSING DOCUMENT All program forms are located within the ehportal. The forms will pre-populate with a majority of the information required. However, a lender may need to add information. Notice of Down Payment/Closing Cost Assistance Grant Letter DOCUMENTS REQUIRED FOR COMPLIANCE FILE Read pages of this guide for information the compliance file submission to ehp Digital Docs. (Rev 12/10/18) These are the required documents for this program. For accuracy with the payment of the Compliance Review Fee, please visit PAYMENT CENTRAL and FIND MY FEE in ehp Digital Docs. Homebuyer Education Certificate FINAL SIGNED CLOSING DISCLOSURE Warranty Deed