Information for Single-Family Lending and Real Estate Professionals
Program Announcement

February 23, 2017
Manual Updates and Temporary Suspension of Conventional Home Advantage Loans

Here is a link  to the 2017 Lender Appreciation Event with Lakeview Loan Servicing and Fannie Mae PowerPoint presentation. Below are the updates to the manual.

Home Advantage manual updates and program matrices have been posted to: with changes to Lakeview Loan Servicing and Servisolutions overlays.

Under Section 2 of the Home Advantage manual changes have been made to FHA manual underwriting:

Manual Underwriting will now be permitted with ‘Refer/Eligible’ Findings

Subject to the following requirements:
Minimum 660 FICO
Maximum 43% DTI

Lakeview Loan Servicing has removed the following guideline overlays and the matrix has been updated:

Credit Requirements:

Private party Verification of Mortgage/Rent as stand-alone document is not permitted.
12 months cancelled checks are required to document the payment history.

Employment/Income Verification:

Verification of Employment as a stand-alone document is not acceptable (A paystub is an investor guideline requirement).
For future income, paystubs are required prior to the purchase by Lakeview,


Request for Verification of Deposit as a stand-alone document is not permitted.

Re-negotiated Purchase Agreement:

Purchase agreements renegotiated after the completion of the appraisal that increase the sales price are only acceptable under the following conditions:

The sales price adjustment is due to price overruns that impact the tangible value of the property on new construction. An updated appraisal must be obtained to verify the value of the modifications.

A renegotiation of only seller paid closing costs and/or prepaids occurs where seller paid closing costs/prepaids are common and customary for the market and supported by comparables.

ServiSolutions has updated their guideline overlay regarding escrow holdbacks. Pre-approval of escrow holdbacks is no longer required by Servisolutions. Section 2 of the Home Advantage manual has been updated as well as the matrix.

Early Check: As you know, ServiSolutions instituted the Fannie Mae Early Check in July 2016 with a 6 month implementation period. ServiSolutions had a number of lenders comply with the delivery requirement and it is working well. However, there are some lenders that do not have access to DU and it has become a problem. ServiSolutions have worked with Fannie Mae to resolve the issue and have come to the conclusion that they are postponing the implementation of the Early Check requirement. ServiSolution has suspended the Early Check requirement for now. ServiSolutions will re-introduce the Early Check delivery requirement as soon as they have ULDD delivery vehicle to interface with Fannie Mae’s DU AUS. ServiSolutions will be keeping Early Check on their current checklist as this will be a requirement in the future.

Home Advantage Conventional Loan Suspension: The backlog of loans at ServiSolutions needs to be gone and loans need to be going through in a timely manner. We are evaluating daily and will send out an announcement at the end of February. We appreciate your understanding and all you do.
If you have any questions email


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