Can a loan that was originally considered for manual underwriting as Refi Plus be submitted through DU?
Yes. If the loan is initially processed as a Refi Plus transaction with manual underwriting and either the borrower does not qualify or the lender decides to submit the loan to DU, the loan may be processed through DU and may be eligible under DU Refi Plus. NEW Is a lender that is currently subservicing a mortgage pursuant to an agreement with another lender considered the “current servicer” of the mortgage and eligible to complete a Refi Plus transaction? No. The subservicer of the loan is bound by an agreement with another lender and is not considered the “current servicer” under Refi Plus. The loan is eligible for Refi Plus only if originated and delivered by the servicer (not the subservicer) of the loan. Lenders with additional questions may contact their account team to discuss any specific agreements and eligible lenders for Refi Plus transactions.
Related Questions
- Why was refinance of an existing loan with an LTV up to 125 percent initially only allowed with manual underwriting, and not DU (Announcement 09-23)?
- Are the DU Refi Plus underwriting flexibilities only offered on loan casefiles with an LTV less than or equal to 80 percent?
- Does DU require the same asset documentation for DU Refi Plus loan casefiles as for other DU loans?
