New Program Announcements November 2023
All policy changes and updates are referenced below in the appropriate section of the Correspondent Lending Guide. These policy changes apply to everyone using the Chenoa Fund down payment assistance program and are effective beginning November 8, 2023, unless otherwise noted. This announcement, and previous announcements are available on the Announcements page of our website.
Announcement: Updated Lock Policy
8.2 | Lock Policy
A complete closed loan package must be uploaded through CBC Mortgage Agency’s loan portal on or prior to the interest rate lock expiration date in order to meet the lock requirements. Locks that expire on the date of submission or within six (6) days after submission will be extended for seven (7) days from the loan submission date to allow for purchase loan conditions to be released and submitted by the correspondent. After a complete loan image is uploaded, the loan package will be reviewed and, if required, purchase conditions will be issued. We will give a (7) calendar day(s) extension before roll fees begin from the latter of the lock expiration or conditions out date. Roll fees will accrue at .025 per day (.175 per week). All roll fees will be withheld from the purchase advice.
Locks that are canceled or that expire and remain expired for thirty (30) days or more are eligible for relock at current-day pricing. If a loan is locked and then canceled (or expired), and then a relock request is received within thirty (30) days of the original lock, the loan pricing will be the worse-case of the current day pricing for the remaining lock period of the original lock less a .375 reinstatement fee and the lock period will be the remaining time on the original lock.
The lock is associated with the property address. If a borrower chooses to purchase a different property than was selected at the time of lock, the lock will need to be canceled and a new lock request submitted for the new property.
8.2.1 Renegotiation Policy:
- Per loan limit: one renegotiation per loan.
- The interest rate must improve by at least 0.125%.
- If the rate drops by 0.125%, the lender receives current market pricing less 37.5 bps.
- If the rate drops by 0.25% or more, the lender receives current market pricing less 25bps.
- The original commitment period and expiration date cannot move and must remain the same.
- The renegotiation price is based on the rate sheet and LLPAs that are in effect when the request is received less any prior accumulated extension, relock or other fees.
Announcement: Updated Wire Instructions
Effective as of November 1, 2023, we have updated our wire instructions. This change effects the following sections of the lending guide.
12.6 | Wiring Instructions (First Mortgages)
Please send new wires to:
Zions Bank
Acct: CBC Mortgage Agency
ABA#124000054
Account # 985250646
Please reference the borrower’s full name and Account #.
12.6.2 Forwarded Payoffs—Payoff Clearing Beneficiary
Please send new wires to:
Zions Bank
Acct: CBC Mortgage Agency
ABA#124000054
Account # 985250646
Please reference the borrower’s full name and Account #.
Announcement: New Mailing Address for Essex Servicing
Please update your records to reflect the new mailing address for Essex Servicing. This mailing address is applicable for all documentation, including payments and correspondence, and affects the following sections in the guide:
7.17.2 Documentation—Second Loan Requirements
11.4.1 Goodbye Letter: FHA First Mortgages
12.3.6 Repayable Second Mortgage Contract Servicer General Mailing Address
12.5.3 Repayable Second Mortgage Payment Address
12.7.2 All Repayable Second Mortgages
New mailing address:
Essex Mortgage
1417 N Magnolia Ave
Ocala, Fl 34475
