Transcript PHFA Pennsylvania Housing Finance Agency

PHFA
Pennsylvania Housing Finance Agency
Processor Training
1/17/2014
What is PHFA?
• Pennsylvania Housing Finance Agency
• Would be considered an “investor”
• Offer multiple loan programs for all 4
loan types: Conventional, FHA, USDA,
and VA
• Offer multiple “assistance” programs in
conjunction with 1st mortgage loans
PHFA Programs
PHFA Programs
HFA Preferred Risk Sharing
• No PMI – Up to 97% LTV
• No 1st time homebuyer requirement, but
borrowers cannot have any other ownership
interest
• Must be approve/eligible
• Minimum borrower contribution = $1000
• Maximum income calculations for both HFA
programs
http://www.phfa.org/forms/sellersguide/appendi
ces/b.pdf
HOMEstead Assistance Loan
• Provides up to $10,000 in down payment
and closing cost assistance in the form of a
no-interest, second mortgage
• Based on NEED
• Liquid assets may not exceed $5000 after
closing
• Funds are forgiven at a rate of 20% per year
over 5 years
• First mortgage through Keystone Home
Loan program (FHA, VA, or RD only)
PHFA Process
• PHFA does not issue preapproval letters
• However, Form 1 can be used for PHFA to
review any issues prior to submitting the
UW package
http://www.phfa.org/forms/sellersguide/f
orms/01.pdf
PHFA Process
• Loan is locked by LO through Pipeline
Plus
• Lender processes and underwrites the
file and submits the UW package to PHFA
for review
• Use Form 51 for a list of required
documents
• All loans MUST be locked with PHFA
prior to sending in compliance package
PHFA Process
• Documents must be assembled in order of From
51 and MAILED to PHFA
– Overnight packages to: PHFA, Homeownership
Division, 211 N. Front St. Harrisburg, PA 17101
– Regular mail package to: PHFA, Homeownership
Division, PO Box 8029, Harrisburg, PA 17105-8029
• Be sure to include completed Form 51 on top of
stack order
• Allow up to 5 business days for PHFA to make a
decision, most likely 1-2 days
• FYI, per PHFA will be automated soon, but for
now all docs must be mailed
Form 51
PHFA Underwriting Decision
All notices and reports can be retried via Pipeline Plus
https://lenders.phfa.org/
• Approval
– Loan is eligible to be sold to PHFA
– Contains purchase conditions (these conditions should
be submitted with the purchase package)
• Suspension
– Additional documentation is required to complete review
– Docs should be emailed to [email protected] or
faxed to 717-780-3872
• Denial
– PHFA cannot approve the loan
PHFA Pipeline Plus
PHFA Requirements
• All loan terms are 30 years
• All residences must be owner-occupied,
primary residences
• Taxes and Insurance are ALWAYS escrowed
• Properties must be less than 4 acres
(certain exceptions apply up to 10 acres)
• All properties require a pest inspection
• Income limits apply to HFA Preferred and
Keystone Home Loan programs
• HFA Preferred cannot be condos and must
be 1 unit
PHFA Contact Info
Homeownership Hotline
800.822.1174
Questions?