REMN Wholesale is pleased to announce updates to the Expanded Plus program.
Full product guidelines can be found on www.remnwholesale.com.
Key Product Changes:
Qualifying Rates:
• Qualify at the greater of the Start Rate or Fully Indexed Rate (i.e. Current Index + Margin) for income ratio calculations. The same rule applies to the Interest- Only programs (using the same criteria mentioned above, but it will be amortized over the remaining period after the IO period (25 years)
Credit History
• Two (2) open and active tradelines reporting for at least 24 months with activity in the last 12 months are required
Mortgage/Rental History
• 0 x 30 in the previous 12 months (no exceptions) as evidenced by a credit report, 12 months canceled checks, or an institutional VOM/VOR
• 12 months of canceled checks or bank statements must be obtained if the borrower is making payments to an individual or interested party
• Properties owned free and clear are considered 0 x 30
Assets
• No more than 50% of the business funds can be used for the down payment and closing costs. Unused balance may be utilized to meet reserve requirements OR;
• A letter from a CPA must be obtained verifying that the withdrawal/use of funds for the transaction will not have a negative impact on the business
Appraisal
• The appraisal report must be completed within 120 days of closing. A recertification of value is required after 120 days and is allowed up to 180 days. A new appraisal is required after 180 days
• Repair Escrows: Escrow holdbacks for work completion are not allowed
Full Doc and Alt Doc 24 – Purchase/Rate and Term Refinance
• 1-unit max loan amount of $2,500,000; FICO 660-699 and max LTV of 60%
• 2-4 units max loan amount $2,500,000; FICO 700+ and max LTV of 65%
• 2-4 units max loan amount $2,500,000; FICO 660-699 and max LTV of 60%
Alt Doc 24 and Alt Doc 12
• Bank statements must either be personal or business – cannot be a combination of both
Asset Depletion
• Clarification that 70% of stocks & bonds may be used for eligible assets
Please contact your Account Executive with any questions.
