All policy changes and updates are referenced below to the appropriate section of the CLG. These policy changes are effective 10/05/2021 unless otherwise noted.
To review the program guidelines changes made September 23, 2021, or earlier, please follow this link to the archived Correspondent Lending Guides.
These updates apply to everyone using the Chenoa Fund program—correspondents and TPO.
Section 5.3 (FHA Offerings), the line “FHA 234(c) condominium unit, primary residence only” has been removed. Condos are now included in FHA 203(b).
Section 5.17 (Present Housing Expense & Verification of Housing Payment) states “Present housing expense verification requirements are determined by the occupying borrower with the highest middle FICO score—all other requirements are determined by the occupying borrower with the lowest middle FICO score.” This sentence has been made the first sentence of this section. In addition, section 5.16 (Alternative Qualification Requirements) had the parenthetical line “(verification of housing payment/expense requirements determined by occupying borrower with the highest middle credit score)” added.
Section 6.2 (CBC Mortgage Agency Additional Guidance) states that alternative qualifications may not be used with manufactured housing to exceed payment shock or DTI requirements. Our Manufactured Matrix will have an artifact removed that suggested that alternative qualifications were allowed to be used to exceed payment shock requirements.« Borrower Questions to Always Keep in Your Lender Playbook