Closing FHA Streamline Quiz | Baamboozle - Baamboozle

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T or F? We can use fee line 220 for applying lender credits.

True, but it depends on what the calculator tells us...

Other than the FHA case number, what else do we verify on the FHA Case Number Assignment? Name 2.

Subject Property Address and spelling of each borrower's name

What 3 items are we trying to BALANCE on FHA streamlines?

1. CTC 2. Meeting HLCD 3. Actual/max loan amounts

T or F? If the borrowers bottom line is showing as bringing cash to closing, we cannot lender pay 3rd party fees to help zero out their bottom line.

False

T or F? The “actual amount” of lender credit must be equal to the highest lender credit disclosed on any LE or CD.

True

T or F: The borrower can NEVER bring cash to the closing table.

FALSE! The borrower may bring cash to the closing table equivalent to one (1) month of PITI if that is how the loan was sold.

What document do we check to verify the FHA case number?

FHA Case Number Assignment

If there was an escrow disbursement for monthly mortgage insurance (code E56), do you need to run a new payoff in Sagent?

No! Only for an escrow disbursement of HOI or taxes.

T or F? If the Actual Base Amount exceeds the Max Base Amount, the Actual Base Amount will need to be adjusted.

True - Max base amount is our target

Can the borrower receive cash back on an FHA Streamline?

Yes. If the amount is minimal, it should be sent to a manager for approval.

What gets lender credited first - Line 220 or third-party fees?

Any third-party fees that are currently borrower paid

T or F? Lender credits may be figured into line 1374 on an FHA. However, a calculation needs to be done to see how much you can put into line 1375.

True

T or F? We can use fee line 1375 - Payoff Interest, to add lender credit.

True - but only as a last resort, as this will change your Max Base Loan Amount

How many months of escrow cushions are needed for FHA Streamline loans?

0

Where in EDMS does the Netted Escrow Calculator get uploaded?

Category- Closing Document- Closing Miscellaneous

Which line items will we use the "Netting Escrow Calculator" to determine the amount that can be lender paid? List any 5.

#220, 903, 916, 909, 990, 991, 992, and 993 (only use these if collecting HOI or Taxes at closing)