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Important Notification

Dear Valued Partner,

Sun West Mortgage would like to thank all of you for your continued support. 

In this Alert, Sun West will clarify its policy on the recurring question of changing the amount disclosed in Box 1 of the GFE (see Fig 1 below) throughout the loan process.

Important Notification

(Fig 1)

Sun West’s policy is that the amount disclosed in Box 1 of the GFE can only change due to a valid “change circumstance” (e.g. change in loan amount, appraised value, loan product, etc.) and only in proportion to the change in the circumstance. Absent other circumstances, per HUD guidelines, the loan changing from float to lock (e.g. the borrower locks in his rate) IS NOT a changed circumstance under which that amount disclosed in Box 1 of the GFE can change; therefore, in these instances, the amount disclosed in Box 1 cannot increase even if the premium (YSP) on the loan has increased. This applies for both Reverse Mortgages (i.e. HECM) and Forward Mortgages (i.e. Refi & Purchase).

For a detailed explanation of this issue, please click here for a copy of a legal memorandum issued to Sun West by the leading regulatory compliance law firm - Weiner Brodsky Sidman Kider PC.

For further explanation and discussion, please contact your Account Executive at (800) 453-7884.

Please click here to check our rate sheets.

Thank you

Sun West Mortgage Company, Inc.
18303 Gridley Road
Cerritos, CA, 90703

Sun West Mortgage Company, Inc. is licensed by the Department of Corporations under the California Residential Mortgage Lending Act and holds a California Finance Lender License (603 0119) and a Corporation Real Estate Brokers License (00793885). Refer to www.swmc.com to see where SWMC is a licensed lender. In all states, the principal licensed office of Sun West Mortgage Company, Inc. is 18303, Gridley Road in Cerritos, CA 90703; Toll Free: (800) 453-7884. All Sun West programs are subject to change without notice.




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