June 11, 2014
Subordinate Financing Underwriting Requirement Expansion for Credit Unions

Great news! United Guaranty is expanding underwriting requirements for subordinate financing. Effective with MI applications received on or after June 16, 2014.

United Guaranty’s systems, Credit Union Underwriting Guide, and all other underwriting documents will reflect this expansion for new subordinate financing by the effective date of June 16, 2014.

Below are the requirements for new subordinate financing; these requirements will apply to all Affordable Housing loans originated by credit unions effective June 16, 2014. Because these requirements are expanding beyond HFA loans, they will be moved from the HFA section of the Credit Union Guide to the Subordinate Financing section.

Underwriting requirements for new subordinate financing:

Affordable Housing purchase transactions with simultaneous secondary financing are eligible for insurance when meeting all of the following requirements:

Please contact your United Guaranty Sales Team if you have any questions about this announcement.

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