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#1789395 - 02/26/13 08:33 PM Compliance One- construction loan
pjs Offline
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pjs
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Posts: 10,321
oHiO
Can anyone help me if you use Compliance One- we are switching over to this loan system in the near future and I have questions about how you do a construction loan on the GFE-how the Summary of your loan looks on the GFE.

Thanks.

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Lending Compliance
#1789439 - 02/26/13 09:33 PM Re: Compliance One- construction loan pjs
RR Joker Offline
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The Swamp
Ask away...I'll try and help..but it will likely be tomorrow before I post again!
_________________________
My opinion only. Not legal advice.

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#1789517 - 02/27/13 12:31 PM Re: Compliance One- construction loan pjs
pjs Offline
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pjs
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oHiO
Joker- we do construction perm loan all in one. On the GFE under the Summary of your loan would the loan term be 30 years? The loan dept has 0.496 years during the first phase and then asterik and on page 3 at the bottom of GFE puts: your loan term is 30 years in the second phase.

On Even if you make payments on time, can your monthly amount owed for principal, interest, and any mortgage insurance rise? They put in the first increase can be in 7 months. I don't believe that is right either.

If it's a construction perm loan- we have one loan, one closing do we do the summary of your loan like we are doing a regular loan? Thanks!

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#1789526 - 02/27/13 01:54 PM Re: Compliance One- construction loan pjs
RR Joker Offline
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Oh, pjs....the one question I have no idea how to answer as we do separate closings for these loans. I do know that C-1 has the option of 'with' or 'without' permanent fiancing and one phase/two phase options. As long as you mark those correctly, I believe your results will be correct.

If your perm phase begins at month 7, then I would agree with the first increase you mention above because that's when your amort of P&I starts.

As far as the .496 and asterik, is C-1 doing that by itself...with no one doing any 'admin modification' to the document? Do you have one done on a prior system you can compare it to?

If memory serves me...I want to think Dan Persfull does one-time close. They have just switched to C-1, so perhaps he can be of some help with this?

FWIW, I don't allow processors the ability to modify. I can...and have modified a HUD before due to an unusual circumstance, but I do know C-1 advises allowing users to have a lot more capability than we choose to allow. Be very careful in that regard because it's amazing what some of those capabilities would allow someone to do!
_________________________
My opinion only. Not legal advice.

Say you'll haunt me - Stone Sour

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#1789562 - 02/27/13 02:57 PM Re: Compliance One- construction loan pjs
pjs Offline
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pjs
Joined: Aug 2004
Posts: 10,321
oHiO
Joker- thanks for the information. Yes, I found out that C-1 did that .496 and asterik by itself and no human did it. The loan was marked correctly- with permanent fiancing and two phase.
I appreciate your help. I will PM Dan about the construction loan - I knew he had Arta but didn't know he was going with C-1.
I agree so much with you on the ability to modify. The processors will not have that ability to modify nor will the lenders!
Again- thank you so much!

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