Update to USDA Loan Programs
USDA released Notification dated March 27, 2020 offering temporary flexibilities on USDA loans for 60 days amid COVID-19 national emergency. Sun West Mortgage Company, Inc. has updated its policy for USDA programs to align with the Rural Housing guidelines as given below:
- Verbal Verification of Employment: In lieu of a verbal verification of employment within 10 business days of the Note date, Sun West will, provided there is no indication/awareness of any loss of employment by the borrower, accept the following documentation:
- A year-to-date paystub or direct electronic verification of income is provided for the pay period that immediately precedes the Note date, or
- A bank statement showing direct deposit from the Borrower’s employment is provided for the pay period that immediately precedes the Note date.
- If above verifications are not successful, above requirements may be waived if borrower has a minimum of 2 months of Principal, Interest, Taxes and Insurance (PITI) in reserves in rare circumstances.
Temporary Appraisal Requirements Flexibility (Existing Dwelling): Effective immediately, with exception to New Construction Properties, Sun West will allow an exterior-only inspection appraisal (FHLMC 2055/FNMA1075) in lieu of the interior and exterior inspection appraisal (i.e. traditional appraisal) as long as there is sufficient information for the appraiser to complete the assignment. In such cases, appraisers are not required to certify that the property meets HUD HB 4000.1 standards.
Completion Reports (1004D): For all loans for which a completion certification is not available due to issues related to COVID-19, Sun West will permit a letter signed by the borrower confirming that the work was completed along with photographs of the completed work, paid invoices indicating completion, occupancy permits, or other substantially similar documentation.
If you have any questions, please contact your Client Relations Manager at (855) AT-SUNWEST or (855) 287-8693.
Sun West Mortgage Company, Inc.
6131 Orangethorpe Avenue, Suite 500
Buena Park, CA 90620
Phone: (800) 453-7884
This information is provided to licensed mortgage professionals only and not for distribution to consumers. Please visit https://www.swmc.com/disclaimer.php or refer to www.nmlsconsumeraccess.org to see where Sun West Mortgage Company, Inc. (NMLS ID 3277) is a licensed lender and servicer. All Rights Reserved. We are not accepting applications from Georgia or Massachusetts residents. We are purchasing mortgages secured by Massachusetts properties but not Georgia. Sun West Mortgage Company, Inc. (NMLS ID 3277) holds a Financing Law License (#6030119) [Loans made or arranged pursuant to a California Financing Law license], licensed by the California Department of Business Oversight, Phone: (866) ASK-CORP and has a DRE Real Estate Corporation License Endorsement (#00793885), licensed by the California Department of Real Estate, Phone: (877) 373-4542.
