April 16, 2012 - Amended April 30, 2012
Underwriting Requirement Changes and Clarifications - Effective Immediately

United Guaranty is pleased to announce the following underwriting requirements are changing effective immediately. United Guaranty's Underwriting Requirements Guide is scheduled to be updated on May 14, 2012.

Corporate Relocation Loans

Previously, we allowed only specific relocation expenses to satisfy our requirement that the borrower's relocation agreement involves an employer contribution of at least 3% of the loan amount. Effective immediately, any expense related to the borrower's move paid by the employer may be used to satisfy this 3% requirement.

Examples of additional expense allowed include (but are not limited to:

Please refer to Section 8.04 of the Underwriting Requirements Guide for the complete requirements for corporate relocation loans.

Condominiums and Cooperatives

Effective immediately, we are removing the following requirement for condominiums and cooperatives:

"No more than 15% of the total units in the project can be 30 days or more past due on the payment of condo/co-op association fee payments."

By removing this requirement, United Guaranty will now defer to the Agencies' requirements concerning past-due condo/association fee payments. The lender will be responsible for ensuring that the Agency requirements for past-due condo/co-op association payment fees are met.

Please refer to Sections 14.03 and 14.04 of the Underwriting Requirements Guide for complete requirements for condominiums and cooperatives.

Underwriting Requirement Clarifications (Amended April 30, 2012)

The following clarifications are being made to United Guaranty's underwriting requirements effective immediately. United Guaranty's Underwriting Requirements Guide is scheduled to be updated on May 14, 2012.

Unacceptable DU and LP Recommendations (Amended April 30, 2012)

We have made the following clarifications to the Unacceptable DU or LP Recommendations Section of the Guide:

Please refer to Section 2.02.01 of the Underwriting Requirements Guide for the complete requirements for Unacceptable DU and LP Recommendations.

Credit Score Requirements

The following clarifications are being made to the Credit Score Requirements Section 12.01 of the Guide:

As of May 14, 2012, the Credit Score Requirements section of the Underwriting Requirements Guide will read as follows:

CA2012-07.1

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