FHA and VA Product Guideline Updates
NewRez LLC "NewRez" Approved Correspondent Clients: please note that effective immediately, NewRez has made the following guidelines updates to the FHA and VA Product Profiles:
The Debt-to-Income (DTI) ratio overlays for TOTAL Mortgage Scorecard Approved/Accept loans have been removed from the following eligibility matrices and revised as follows:
- Purchase – the maximum eligible DTI for Purchase mortgages has been revised to TOTAL Mortgage Scorecard determined DTI eligibility.
- Standard Refinances – the maximum eligible DTI for Rate & Term, Simple and Cash-out refinances have been revised to TOTAL Mortgage Scorecard determined DTI eligibility.
The 50% maximum DTI ratio overlay for the VA Cash-out Refinance has been removed and replaced with AUS determined DTI eligibility.
The following valuation options have been added to determine the appraised value for all VA Interest Rate Reduction Refinance Loans (IRRRL):
- LTV/CLTV for IRRRLs can be based off one of the following valuation methods:
- the original loan amount of prior VA mortgage, or
- current 2055 appraisal report, or
- NewRez approved AVM (Corelogic GEO (FSD<=15), Collateral Analytics-Black Knight (FSD<=15), Freddie HVE (confidence level of High))
Please refer to the NewRez Product Profiles for details.