In addition to relaxing some of its standard eligibility criteria, Radian Guaranty Inc. has expanded guidelines on its jumbo programs.
Radian enhanced its standard eligibility with lower minimum FICO scores and debt-to-income ratios up to 45 percent. FHFA high-balance and affordable products are among the products impacted.
Minimum FICO scores for borrowers on jumbo mortgages secured by owner-occupied properties are being lowered to 700.
The updates were described in Radian eBulletin 2014-8 issued on Monday.
In addition, the Philadelphia-based mortgage insurance company is raising the maximum DTI ratios to 45 percent on jumbo loans..
On primary residences with loan-to-value ratios up 95 percent and investor properties with LTV ratios up to 85 percent, the maximum loan amount is being increased to $650,000.
Twelve-month commitments are now available on construction-to-permanent financing with LTVs up to 90 percent and loan amounts to $850,000.
Radian said that automated underwriting system credit document waivers for employment, income, and assets are now available on jumbo mortgages up to $650,000 that have an approve-ineligible finding on Desktop Underwriter or an accept-ineligible finding on Loan Prospector.
All borrowers must still contribute 5 percent of their own funds on jumbo transactions.
The updates became effective Monday.
Radian additionally noted that it will now insure non-warrantable condominiums under its One Underwrite and Standard Eligibility programs.
