Show support for a withdrawal of Mortgagee Letter 2019-06

Federal Court Blocks HUD Mortgagee Letter
Chenoa Fund Continues To Offer DPA To Qualified Borrowers

Programs

The Chenoa Fund offers three second lien products that are issued in conjunction with first mortgages that are FHA insured and one with Conventional loans. They include the

  • Rate Advantage
  • DPA Edge Repayable Second
  • DPA Edge Forgivable Soft Second
  • Conventional Second

Chenoa Fund Program Guidelines

Unless otherwise specified by published overlays in accordance with CBC Mortgage Agency, all loans delivered are underwritten and closed according to FHA or Fannie Mae guidelines.

 

Some other key points to remember include:

  • The programs are allowed in all states except New York.
  • All programs offer 3.5% in down payment funds for the second mortgage (3% for the down, .5% for closing costs on a conventional loan).
  • Origination charges and lender fees must conform to the QM points and fees rule according to TRID.
  • The first mortgage must be sold to CBC Mortgage Agency.
  • Your DE underwriter is responsible for underwriting the file – credit and appraisal – and issues final approval to close. Your DE Approved lender closes the loan.
  • Approved property types include Attached and Detached SFRs, PUDs, Townhomes, Condos, and Modular Homes.
  • DPA EDGE allows two-unit properties. No three-four-unit properties are allowed on any program.
  • No manufactured homes.
  • HPML (Rebuttable Presumption) is allowed, but no High-Cost Mortgages.

Requesting Information

If you would like more information about this program, please contact our program development team.

Phone: 866-563-3507

Email: info@chenoafund.org

CBCMA Does Not Originate Mortgage Loans. This is not an offer to lend money nor a solicitation of a mortgage application by CBCMA.