Why use Utah Housing Loans for your borrower

Do you want to know more about Utah Housing? Utah Housing can be a different animal here are a few tips that might help you:

1-Utah housing does 30 year fixed loans 1st mortgage they also have a 2nd mortgage allowing a CLTV of 102.5%  (The second can be for 6% of the senior loan amount)

2-Utah Housing is for first time homebuyers, unless property is in a targeted area, a veteran or borrower is a single parent (Go to my blog to see target areas www.mtgview.blogspot.com right hand side of screen)

3-Single Parent Set Aside Loans require recent signed tax return showing filing head of household with at least one dependent child

4-The borrower’s current Household income can not exceed posted income limits (You can go to my blog for this information www.mtgview.blogspot.com)

5-Current Acquisition cost cannot exceed FHA loan amount limits (go to my blog)

6-Property does not exceed ½ acre

7-Co-signors debt ratio (including Proposed housing expense)can not exceed 41%

8-Middle of 3 FICO 660 or above (middle of 3, lowest of 2). If borrower does not have any FICO Scores UHC will accept these loans as long as HUD guidelines are followed. Borrower is not renting any portion of the home and property does not have the ability to be rented (i.e. no second kitchen)

9-Subject property will not be used more than 15% of the residence for a business

10-PUD & Condo’s that are FHA/VA compliant are acceptable

11- Large deposits on bank statements must be address and documented from an acceptable source

12-All income must be counted in calculating max income even if the income does not qualify to be used as qualifying income to calculate debt ratio

13-Income must be projected out for the next 12 months.

14. All income for household members over 18 must be addressed an projected forward 12 months

and income documented

15. You must have a CURRENT paystub. Review the project paystub out for 12 months. If current income is more than previous income it must be within the income limits. The income should be calculated at time of application.

16-Bonus income/overtime, etc. has to be averaged over the past few months and projected forward 12 months (this is for the calculation to see if the exceed max income limits not for qualifying purposes). For qualifying pupose they must meet FHA and/or VA guidelines for overtime/bonus income.

17-The VOE must support paystubs

18-Application must show a least 2 year residency history and the credit report should not show any history of a mortgage loans

19-All employment on the application must be documented even if it is not being used to qualify (it will be used to see if the exceed the income limits for Utah Housing)

20-All self employed income requires a current Profit and Loss Statement dated at time of application, no matter when tax returns were or were not filed.

21-Paystubs must be dated within a couple of weeks of the initial application date

22- Refinances are not eligible, except for construction loans or similar temporary initial financing have a term of twenty four months or less.

23-You can use FHA or VA loans for Utah Housing

24-No cash back to borrower at closing (borrower can receive any funds paid upfront)

25-BOU requires and AUS approval. If DTI is over 45% even with the AUS approval you must document compensating factors for the borrower

Remember Bank of Utah will do Utah Housing Loans on our Wholesale side. 

What is happening today in mortgage lending: Shirley Nault has been a mortgage professional for over 20 years. Visit her other mortgage web sites go to: www.naultfhatips.blogspot.com or www.dutips.blogspot.com