PHH Mortgage is announcing multiple operational and underwriting updates.
Agency Updates
Freddie Mac Seasoning Guidelines: Cash-out transactions purchased on and after 2/15/2023, must meet the new seasoning requirement of 12 months (Note Date of Mortgage being paid off to Note Date of new mortgage).
Supplemental Consumer Information Form (Form 1103): Required on all loans with application dates on and after 3/1/2023 and must be delivered in the closed loan file.
Non-Agency Product Updates
The following changes were made to the Non-Delegated Non-Agency product offerings effective 1/24/2023:
FULL DOC Product:
- Prepayment Penalty permitted on Investment Property loans only and follow state requirements
- 70% Max LTV with 660 FICO
- Leaseholds are allowed in areas where they are common
DSCR:
- Minimum DSCR Ratio increased from .75 to 1.0 for rate term and 1.25 for cash out
- Maximum LTV for the 1.5 mil segment reduced to 75% in both rate/term and cash out
- Interest Only Minimum Credit Score changed to 700
- Leaseholds are allowed in areas where they are common
Alt Doc and Bank Statement Program
- WVOE added as an alt doc option
- 70% Max LTV with 660 FICO
- Leaseholds are allowed in areas where they are common
Operational Updates
Changes to TPO Connect Personas:
Effective 2/8/2023, the following changes will be implemented on TPOC. It is recommended that sellers review their current persona settings to determine if changes are needed.
- TPO Loan Officer – now able to “Create New Loans,” access to “Product and Pricing,” “Lock Loans,” view “Lock History” and run “Pricing Scenarios”
- TPO Processor – no longer has access to “Product and Pricing” and “Pricing Scenarios”
- New TPO Loan Officer (View Only) persona – only has access to view loan details, status and conditions
eNotes:
PHH Mortgage is now accepting eNotes. Sellers must have prior written approval to deliver eNotes to PHH Mortgage. eNotes are currently acceptable for Conforming Agency products only. See the PHH Mortgage Seller Guide for additional information and requirements for utilizing eNotes.
Servicing Escalations:
All Servicing related escalations should be submitted to your Regional Support mailbox for resolution.
Delegated:
Non-Delegated:
FHA Connection Updates for Purchased loans:
As a reminder, upon purchase of a Correspondent FHA loan, the Seller is responsible for changing the Servicing and Holder in FHA Connect to reflect PHH and our ID #30275.
If you have any questions, please contact your your Correspondent Specialist, Sales Executive, or contact us via the support line at 800-929-4744.
Thank you for your continued business.