Purpose Link to Mortgage Cadence Additional Documentation or Other Resources Mortgage Cadence User Guide Underwriting Submission (Delegated) Follow these steps to submit a loan for delegated approval in Mortgage Cadence. https://vhda.mortgagecadence.com/orchestrator/ If you have a VHDA second loan, this procedure must be done for both loans EXCEPT the reimporting feature. Only the first mortgage can be reimported. Step 1 After successfully logging into Mortgage Cadence, select the desired loan to which delegated approval submission is needed by searching in the Pipeline Vista. UNDERWRITING SUBMISSION (DELEGATED) 1
2 The underwriter must confirm ratio accuracy on the Loan Summary Information C screen. If the information is not correct, a re-import may be required or the underwriter can go to the 1003 screen to make updates (which is explained in later steps). 3 Confirm that the AUS information in the Underwriting box on the Loan Summary Information C screen has been entered. 4 To re-import an existing file with updates (Examples of potential updates/changes: qualifying income, PITI, and/or liabilities), the underwriter can click Import from the top-left navigation. UNDERWRITING SUBMISSION (DELEGATED) 2
5 File type is FNMA, then click Update Active Loan. Select Browse to find the Fannie Mae Flat File (.FNM file or MISMO 3.2 file). Select Operations Center Main, then click OK. Select File Type first!.fnm file **IMPORTANT** CHANGE TO UPDATE ACTIVE LOAN IF THIS ISN T DONE THEN AN ENTIRELY NEW LOAN WILL BE CREATED. NOTES: Underwriter must ensure the correct.fnm file is uploaded. Clearly name the.fnm file to be uploaded so it can easily be found after clicking Browse. A re-import can occasionally remove information such as the first time homebuyer flag (if applicable)or credit score. The user must ensure any completed fields that had information removed must be completed again. 6 If the information is not correct and the loan was not originally imported or if the user prefers to update manually, updates may be made to the 1003 screen. UNDERWRITING SUBMISSION (DELEGATED) 3
7 Updates to income can be done in section V. Other Income is entered below by clicking Add. 8 Updates to housing expenses can also be updated in section V. UNDERWRITING SUBMISSION (DELEGATED) 4
9 Changes to liabilities can be updated in Section VI. 10 If the ratios are still not calculating correctly, then the user should confirm that the box below is checked for both the borrower and co-borrower (if applicable) on the 1003 screen. Save the loan. 11 If the Details of Transaction (Section VII of the 1003 screen) information from the user s Loan Origination System does not appear to match what was imported, it s acceptable to leave it as it is. VHDA will review other documents (such as the lender s 1003, the Closing Disclosure, etc.) to confirm the accuracy of funds required at closing. UNDERWRITING SUBMISSION (DELEGATED) 5
12 For loans with VHDA PLUS 2 nd Mtg Funds (Please reference the VHDA PLUS 2 nd Guidelines for a complete list of eligible first mortgage products) Skip this step if no VHDA PLUS 2 nd Mortgage Funds: Confirm that the Plus second mortgage loan amount is correct and is shown in the PLUS 2 nd MTG field on the Loan Summary Information C screen. NOTE: If the second mortgage yields cents, the user must remove the cents (always round down to the nearest dollar). UNDERWRITING SUBMISSION (DELEGATED) 6
13 For Loan with Non-VHDA Subordinate Financing only - skip this step if no Non-VHDA subordinate liens: Confirm the outside subordinate financing loan amount is correct and is showing in the Other Financing field on the Loan Summary Information C screen. 14 For FHA Loans only (If the product is not an FHA, skip this step): Confirm the FHA Case Assignment information is complete on the Loan Summary Information C screen. NOTE: The FHA Case Number must be the 10 digit number from FHA Connection. The ADP code should not be included at the end of the FHA Case Number. UNDERWRITING SUBMISSION (DELEGATED) 7
15 For FHA Streamline Refinance Loans only (If the product is not an FHA Streamline Refinance loan, skip this step): Confirm the Previous Endorsement Date (so the MIP calculates correctly) and the NCO Refi Doc Type (Streamline without Appraisal) is complete on the Loan Summary Information C screen. 16 For RD Loans Only (If the product is not an RD loan, skip this step): If the GF percentage isn t calculating correctly, the underwriter can enter the RD Conditional Commitment Date on the Loan Summary Information C screen to change it. 17 Go to the Delegated Submission screen. Verify and input all applicable data. UNDERWRITING SUBMISSION (DELEGATED) 8
18 The underwriter is responsible for confirming data accuracy. Some items may have changed since reservation so it is especially important to check all data for accuracy and completion. NOTE: The household income must be the annual income, not monthly. 19 For MCC Loans only (If the loan does not have an MCC, skip this step): If the loan has an MCC, the MCC box must be checked. The box is available to check on the Loan Summary Information C Screen or the Delegated Submission screen. 18 The underwriter s name must be selected from the drop down at the bottom of the delegated submission screen in order to ensure that copies of the delegated confirmation and the other associated documents (Recapture Notice, Income Limits, etc) are sent to you via email. The delegated approval documents will also be available in Attachments as noted below. NOTES: If the underwriter cannot find his/her name listed in the dropdown, then contact the lender s administrator (Lender administrators are responsible for proper system credentials, not VHDA). It is not acceptable for another individual to submit a loan on another individual s behalf. Every underwriter submitting loans to VHDA for delegated approval must have acceptable credentials and be approved to underwrite VHDA loans. If the Loan Officer s name does not appear in the dropdown, it is acceptable to leave this field blank. Save the loan. UNDERWRITING SUBMISSION (DELEGATED) 9
20 Choose s and then Utilities. Select Request Delegated Confirmation. 22 The system automatically sends e-mail notifications with the appropriate documents to the underwriter including: Delegated Confirmation Notice, Recapture Letter, Income Limits Chart, Awards Letter (if applicable), and Letter of Obligation (if applicable). The two latter documents are housed in the VHDA second mortgage after the delegated confirmation utility is ran. The lender will also be able to access these documents by choosing s and then Attachments. 23 The system changes the status of the loan to Cleared to Close. 24 For MCC Loans only (If the loan does not have an MCC, skip this step): After running the Delegated Approval utility, the underwriter must upload the MCC Application and Fact sheet for the MCC Commitment to be processed. Choose s and then click Attachments. Click the carrot next to Attachment Upload for. to expand the Attachments window. Select the appropriate Category Type (MCC Documents) from the new options supplied in the Category drop down. Name the file appropriately in the Comments field as shown below. Click the Upload button. UNDERWRITING SUBMISSION (DELEGATED) 10
25 If a Halt message appears, this means that not all of the required information in the Delegated Submission screen was completed. The underwriter must return to the Delegated Submission screen and complete all missing information. 26 If the underwriter receives a Warning message such as this: The lender can go to the Products and Pricing Validation screen to see the warning in more detail: If the warning message is not valid, the lender will need to make the necessary corrections and then click Save. 27 If something changes after the Delegated Submission occurs, such as a change in loan amount, the underwriter can update the appropriate fields within Mortgage Cadence and run the Request Delegated Confirmation utility again. UNDERWRITING SUBMISSION (DELEGATED) 11