New Loan Limits and Other Mortgage Change Stuff

2017-mortgage-changesEffective January 1, 2017, here are some good changes occurring in the mortgage world:

  1. DU Validation Service – You have all heard me talk about AUS(Automated Underwriting Systems).  DU is known as Desktop Underwriter and is FANNIE MAE’s Automatic Underwriting System.  Well, because Equifax is tracking Income for some individuals and talks to DU, this will allow the processing of some Conventional Loans with as much documentation from the borrower regarding income and assets
  2. TAX Transcripts (4506T) –  I did a blog a couple of weeks ago about this procedure. You can find it at: http://danmckenzie.com/tax-transcript-4506t/.  Some Lenders are NO LONGER requiring IRS Transcripts for Conventional, FHA, and VA loans. USDA, Portfolio and Jumbo Loans with continue to require transcripts.
  3. Loan Limits Change(one unit properties only) January 1, 2017:
Loan Type Old Loan Limit New Loan Limit
Conventional Conforming $417,000 $424,100
FHA(Metro Counties) $342,700 $358,800
FHA(Outer Counties) $271,050 $275,665
VA Loan Limits $417,000 $424,100

Happy Friday!

Sincerely,
Dan McKenzie
Managing Partner, Options Mortgage Services