7/10/15 FNMA has announced several exciting underwriting changes!

Posted by admin on July 10, 2015

7/10/15 FNMA has announced several exciting underwriting changes!

• Conversion of principal residence to rental

-30% equity no longer required, Additional reserves no longer required may follow normal rental income guidelines.

• Stocks, Bonds and Mutual Funds (including retirement accounts)

-100% of the value of the asset is allowed for reserves, no evidence of liquidation is required if the value of the asset is at least 20% more than       the funds needed to close.

• 2106 Expenses (unreimbursed employee business expenses)

-Salaried borrowers (base pay, bonus, overtime or commission income less than 25% of annual income) do not need to deduct 2106 expenses in     qualifying.

-Salaried borrowers with commission income that is 25% or more of annual income, 2106 expenses must be deducted.

• IRS W-2 transcripts may be used in place of the actual W-2

 

These changes are effective immediately; DU will be updated 8/15/15 to support the changes.

 
 

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