Non-retail originations, high-balance loans and condominium financing are all impacted by upcoming changes to guidelines and rates at Radian Guaranty Inc. The mortgage insurer is also easing its requirements on recently listed properties.
Radian expanded its credit policy as it attempts to help customers get a better handle on its eligibility requirements, according to eBulletin 2010-05 issued today.
Among the changes is the elimination of a requirement for non-delegated submission on loan amounts above $650,000. In addition, credit-only and pre-qualification packages can be submitted to Radian for non-delegated underwriting.
Another update is the ability to refinance properties listed for sale during the past 60 days on a rate-term basis.
Loans secured by planned-unit developments are eligible for non-retail origination, and PUDs in Nevada and Florida’s Miami-Dade and Broward counties are now acceptable as security. Radian noted, however, that attached PUDs in Florida continue to require non-delegated submission.
On Radian’s Platinum program, high-balance loans can utilize the AUS streamline documentation option and can be secured by condominiums and attached PUDs. But the Platinum program now excludes nonprime credit on two-unit properties and non-retail origination of manufacture housing loans.
The Philadelphia-based company said the updates impact mortgage insurance applications received on or after Aug. 16.
Pricing changes include a reduction in the loan amount adjustment for prime mortgages between $417,001 and $729,750 with FICO scores of at least 760. Monthly and single BPMI and LPMI are being cut to 10 basis points from 40 BPS. The updates don’t apply in Alaska, Hawaii or New York.
The second-home single-premium adjustment on the Platinum program is being reduced to 60 BPS on BPMI prime mortgages.
Radian also noted that it has consolidated its rate cards.
