Underwater On your Mortgage?

Effective Date: Description: February 19, 2013
The Elite Freddie Open Access offers better pricing than our Open Access with the following restrictions: 1. Owner Occupied Only 2. 105% LTV/135% CLTV3. Minimum 660 FICO 3. Minimum 660 FICO 4. Max 50% DTI 4. Max 50% DTI Max Benefits also include 1. 100% Delegated 2. Will accept MI transfer 3. Can Use Appraisal or HVE Waiver

Special Warning to All:

Freddie Mac does not allow any changes or updates to the LP findings after the date of the note. Also, any changes made prior to the note date, even minor, changes can cause an Accept Approval or Appraisal waiver to disappear. Freddie Mac is not very forgiving on these issues and it is a large reason why few investors or lenders want to take the chance on closing a loan with no equity that Freddie Mac will refuse to buy. To avoid last minute changes to the LP, there should not be any conditions moved to funding that may need the LP to be updated and rerun. Rate and Term Refinance
Owner Occupied
Units 1 2 3 4 Max Loan Amount $417,000 $533,650 $645,300 $801,950 Max LTV/CLTV 105/135 105/135 105/135 105/135 DTI 50 50 50 50 Minimum FICO 660 660 660 660


30 & 15 Year Fixed HIGH BALANCE
Continental U.S
Units 1 2 3 4 Min Loan Amount >$417,000 >$533,650 >$645,300 >$801,950

Alaska, Hawaii

Max Loan Amount Min Loan Amount Max Loan Amount $625,500 $800,775 $967,950 $1,202,925 >$625,500 >$800,775 >$967,950 >$1,202,925 $938,250 $1,202,150 $1,451,925 $1,804,375

These are the maximum potential loan limits for designated high-cost areas. Actual Loan Limits are established for each county (or equivalent) and the loan limits for specific high-cost areas may be lower. The original principal balance of a Mortgage must not exceed the maximum loan limit for the specific area in which the Mortgaged Premises is located. For specific loan limits for each high cost area, as released by the Federal Housing Finance Agency, visit: https://www.efanniemae com/sf/refmaterials/loanlimits/ Click on: 2012 Conforming Loan Limits by area toward the top. Click on: On the bottom of this matrix is a Tab for 2012 Conforming Loan Limits. Hit Control/Letter F/Number 1- type in county Page 1 of 4

Product Code Loan Term 15 Years Fixed 20 Years Fixed 30 Years Fixed

Product Code:

CCSF15-FR-OpenAccElite CCSF20-FR-OpenAccElite CCSF30-FR-OpenAccElite

Program Eligibility: Derogatory Credit:

Purchased by FHLMC prior to June 1, 2009 with LP Relief Open Access Findings Link to see if Freddie owned www.freddiemac.com/mymortgage Mortgage lates- 0x30 in last 6 months. 1x30 during 7-12 months. If the Mortgage being refinance was a Restructured loan, it is not eligible to be refinanced as an Open Access loan Occupant borrowers can be added or removed with at least 1 borrower on note remains; Non-Occ co-borrowers cannot be added on to owner occupied loans-ok for investment properties No Manufactured homes. No Homes converted to commercial or business use. See condo requirements for additional restrictions

Borrower Eligibility:

Ineligible Properties:

Appraisal Requirements: Appraisal Waiver's will be honored - 1-2 Units All Occupancies- HVE (Home Value

Explorer) value on LP Findings can be used, but if lower, LP must be rerun or appraisal requested. If the findings allow us to use the HVE value, then we DO NOT need to document anything further on mixed use. If the findings require an appraisal, then we need to follow their standard mixed use guidelines. For Appraisal Waivers a Property Valuation Report (PVR) must be obtained at a $200 cost to the Borrower.

Underwriters-Closing. Warning- Any LP updates could cause waiver or loan approval to disappear. Please may very close attention. Freddie Mac does not allow any changes to the LP after the Note date of new loan.


All insurance must be provided prior to final approval as any differences in cost may result in update of the LP, which can not be done after the date of the note on the new docs. See" Special warning to all" for more information. Current loan Balance plus the interest due (does not include interest on new loan) and 4% of the unpaid principle balance or $5,000, whichever is lower Please Use the Freddie Loan Amount Worksheet To Calculate The Loan Amount Regardless of if original loan had impounds or not, Impounds are required in California if LTV is over 90% and required in all other states if over 80% LTV

Loan Amount

Escrow/Impoud Requirements:

Page 2 of 4

Condo Requirements: If no appraisal an HOA cert is required to confirm:
o The project is not located in a Hotel/Resort Project, houseboat project, timeshare project, or a project with fragmented or segmented ownership o The number of units in complex. o If over 20 units a current Balance sheet and Budget are required to determine Fidelity insurance requirements. See Fidelity Insurance Link Fidelity Insurance Requirements Underwriter to review all insurance prior to Final Approval for o Master Hazard Insurance with 100% Replacement Coverage on all projects including 2-4 units o Liability Insurance with minimum $ 1 Million o HO6 for "Walls In" insurance o Fidelity Bond if over 20 units in project see Fidelity Insurance Requirements link o Earthquake insurance for California Condo's- If Earthquake insurance is not provided, underwriting must call Freddie Mac at 1-800-373- 3343 for a waiver. Freddie Mac will mail waiver which must be in file.

Subordinate Financing: New subordinate Financing not allowed

Subordinate Financing payment must cover all interest due. Any subordinate financing that offers a choice of a payment less than the interest due, or any language that says Negative Amortization is possible, would NOT be eligible to be subordinated. Max 50% Full Documentation per LP Owner Occupied

Qualifying Ratios: Documentation Type: Occupancy: Assets:

Per LP There is no requirement to address large deposits or increases in balance, or provide proof of liquidation of funds. Per LP There is no requirement to address large deposits or increases in balance, or provide proof of liquidation of funds. Unlimited.


Limitations on other Real Estate Owned: Mortgage Insurance Transfer:

Available on loans with existing MI except TRIAD MI. Need MI Company Name and Current Certificate number. Please Note Lender Paid Monthly MI is not allowed, It must be converted to Borrower Paid Monthly Branch must verify with existing MI company what type of MI the borrower has and what the new MI factor and monthly payment will be in order to correctly disclose and avoid GFE/TIL violations and delays See HARP MI transfer guide link for additional info Please Note: LP HARP Loan Findings listing "California Housing Loan Insurance Fund" as the MI provider will need to be brokered as APMC cannot obtain a copy of the master policy. Page 3 of 4

Net Tangible Benefit: Borrower benefit must be determined outside of LP as follows:

Lower Payment / Lower Rate / More stable product- ARM to Fixed/Interest Only to Fully Amortized / ARM-ARM with a longer fixed rate period-NOTE: No limit on P&I increase if moving to more stable product Full Documentation per LP Finding Accept only


Use of Loan Proceeds: Max cash back is $250.

Max principle curtailment is the lower of 2% of the loan amount or $2000. Anything exceeding that will need to be redrawn. Please Note: Second Mortgages or HELOCs cannot be paid off with proceeds from the new loan under any circumstances.

Age of Documents:

Credit documents- 90 days from date Note/Deed is signed Appraisal- 90 days from date Note/Deed is signed.

Access Real Estate Lending | 1051 Mangrove Avenue | Chico CA 95926 Office: 530.897.4090 | Fax: 530.892.2090 | www.accessloans.net
CA DRE#: 01215943 | NMLS#: 1850 | Licensed by the Department of Corporations under the California Residential Mortgage Lending Act. An Equal Housing Lender. *Info Subject to Change. Page 4 of 4

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