Policy & Procedure Updates

11/30/2018

Announcement:

Due to current market conditions, the CBC Mortgage Agency will be capping the rate on FICO scores between 620 and 639 at 5.75. We will not allow a rate higher than 5.75 in this FICO band as the market price for this FICO band at rates higher than 5.75 is significantly worse than those rates at 5.75 and below. We are working on a way to limit rates in this FICO band to 5.75, so until this can be implemented, we will be manually adjusting these rates if a rate is locked higher than 5.75. Please note this will be effective as of Monday, December 3rd.


11/28/2018

Subject: Reminder and Update on Loan Pricing Structure Change

As a reminder on January 1, 2019, CBC Mortgage Agency (“CBCMA”) will no longer offer a selection of interest rates for the first mortgages it purchases. Instead, each of CBCMA’s programs (Edge, Rate Advantage, Conventional) will have one single interest rate for each FICO band at which CBCMA will purchase the associated first mortgage. Each rate will pay a flat premium. The premium paid will be based on the program. The rates will be published on our website and will be sent to all parties who currently receive rates from CBCMA, or who wish to in the future. These rates will also be provided through Optimal Blue. CBCMA will no longer provide individual rate sheets with a corporate margin included on a correspondent basis. These changes are being implemented to bring CBCMA’s pricing structure more in line with the pricing structures of other governmental entities and to facilitate better compliance of its correspondent lending program.

For the companies currently participating in the OneRate program starting Friday, November 30, 2018 we will be sending out the new updated OneRate rate sheet that will include all programs. Please see the links below that are sample rate sheets for the updated OneRate rate sheet.

Those who wish to switch to OneRate prior to January 1 are able to do so by contacting their Account Representative or our lock desk.

Please click the below links for the Sample One Rate pricing rate sheet:

One Rate Sample Excel Format: Here

One Rate Sample PDF Format: Here

Please Note: As a reminder CBC Mortgage Agency follows all FHA guidelines, FHA does NOT allow for Private Flood Insurance Policies. All properties that require Flood Insurance must be purchased from the National Flood Insurance Program (NFIP/FEMA)


11/27/2018

Please Note: As a reminder CBC Mortgage Agency follows all FHA guidelines, FHA does NOT allow for Private Flood Insurance Policies. All properties that require Flood Insurance must be purchased from the National Flood Insurance Program (NFIP/FEMA)


11/20/2018

**CBC Mortgage Agency will be closed Thursday, November 22nd in observance of Thanksgiving. CBC’s lock desk will also be closing early Wednesday, November 21st and Friday, November 23rd at 12:00PM MST, any loans that need to be locked on November 21st and 23rd will need to be locked by 12:00pm MST.**


11/13/2018

Please Note: As of 11/13/18 we will be changing the Manual Underwrite LLPA to (.250) from (.500).

Announcements:

Subject: Loan Pricing Structure Change

On January 1, 2019, CBC Mortgage Agency (“CBCMA”) will no longer offer a selection of interest rates for the first mortgages it purchases. Instead, each of CBCMA’s programs (Edge, Rate Advantage, Conventional) will have one single interest rate for each FICO band at which CBCMA will purchase the associated first mortgage. Each rate will pay a flat premium. The premium paid will be based on the program. The rates will be published on our website and will be sent to all parties who currently receive rates from CBCMA, or who wish to in the future. These rates will also be provided through Optimal Blue. CBCMA will no longer provide individual rate sheets with a corporate margin included on a correspondent basis. These changes are being implemented to bring CBCMA’s pricing structure more in line with the pricing structures of other governmental entities and to facilitate better compliance of its correspondent lending program

Those companies currently participating in the OneRate program will not see a change as the new pricing will be the OneRate pricing. Those who wish to switch prior to January 1 are able to do so by contacting their Account Representative or our lock desk.


11/09/2018

DID YOU KNOW …

… that we recently updated our Program Guidelines to Version 5.1? All of our Product Matrices have been combined into one Product Matrix, to help lenders and correspondents alike visualize the differences between our three programs and five products. Even if that visual doesn’t interest you, be sure to give the guidelines a review anyway, as many of our guidelines have undergone changes since Version 4.

Program Guidelines 5.1


11/08/2018

CBC Mortgage Agency will be closed Monday, November 12th in observance of Veterans Day.


11/06/2018

Announcements:

Since our announcement requiring a LOE from the borrower on any loan where a home is being retained and CBCMA is financing the down payment for the purchase of a home, we have received numerous requests regarding what the LOE should cover. The borrower should include some explanation about the motivation to buy the property, and what the plans are for retaining the current REO.


10/22/2018

DID YOU KNOW …

… that CBC Mortgage Agency recently published a series of training videos on chenoafund.org?

If you go to chenoafund.org/training, you will be able to check out our entire suite of training modules, which include topics such as …

  • How to Calculate AMI
  • How to Register and Lock a Loan
  • Where to Ship Documents
  • How to Upload for Purchase Clearing
  • What to Look Out For when Underwriting

If you’re not sure where to begin on any task, please check out this webpage!


10/3/2018

CBC Mortgage Agency will be closed Monday, October 8th in observance of Columbus Day.

10/1/2018

****IMPORTANT ANNOUNCEMENT****

Please note: We are having some technical difficulties with our pricing system. Please email locks@chenoafund.org, if you need to lock a loan today.


9/27/2018

Upcoming Changes to the Loan Review Process & Lock Policy

After reviewing feedback and studying loan turn times, CBC Mortgage Agency will be changing its loan purchase review process beginning 10-5-18 in order to significantly reduce and ultimately eliminate post-purchase conditions. Overall loan purchase times should not change.

Currently, CBCMA runs a Due Diligence Review and once all due diligence conditions are cleared, purchases the loan, and then forwards the loan to a takeout investor for purchase who then reviews the loan. Too often this process results in post-purchase conditions. Under the new process, loan images will be uploaded for review in the same fashion as they are now. CBCMA will then run its Due Diligence review and Takeout Investor review simultaneously, however, conditions will not be released independently. All conditions will be released at the same time. This will result in a longer initial review period but should eliminate most all post-purchase conditions on the file and you will find your purchase times will remain consistent.

Due to the longer review period, CBCMA will be updating its lock policy. The current policy requires locks to be good through the date loans are cleared for purchase. The new lock policy will require that locks be good through the date collateral is received and a complete credit and closing package is uploaded for purchase review.


9/14/2018

IMPORTANT ANNOUNCEMENT:

Pre-Purchase Counseling for Borrowers with Credit Scores 620 – 639 Required for all loan applications dated 11/1/18 and after CBC Mortgage Agency requires borrowers with credit scores between 620 and 639 to participate in pre-purchase counseling prior to close beginning with all applications dated 11/1/18 and after.

Instructions:

Pre-purchase counseling must be completed prior to close. Lenders should refer their borrowers to the following link: https://www.borrowersuccess.org/prepurchase

Borrower may also choose to call and schedule pre-purchase counseling via telephone using the following toll free call number: 866-237-9001. Borrower(s) should be instructed to schedule their pre-purchase counseling within 14 to 21 days prior to closing to allow sufficient time for scheduling the appointment and completing the counseling session prior to closing.

***HURRICANE FLORENCE ANNOUNCEMENT***

Hurricane Florence is expected to make landfall within the week. This category 4 storm is predicted to bring extensive and possibly catastrophic damage. Correspondents are advised that most investors will stop purchasing loans in the affected areas until a re-inspection has taken place to insure there is not damage to any subject properties pending purchase. Since lenders will continue to own these loans, please be advised and prepared for delays in the purchasing of loans affected by Florence.

Chenoa Fund

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This site and the information contained therein is not a solicitation to lend money to consumers.

CBC Mortgage Agency NMLS: 1186381 - 912 W. Baxter Drive, Suite 150 South Jordan, Utah 84095
Main 866-563-3507 | Servicing 866-563-7572 | Fax 435-237-0022