HOMESITE MAP | SEARCH | CONTACT   Twitter Facebook

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

January 25, 2013
Changes to Closing of Second Mortgages Effective 02/01/2013 (see update)

The Washington State Housing Finance Commission has been notified due to recent guidance released by HUD regarding down payment assistance in the form of secondary financing, we are now required to send the wires to loan closing.

These changes are effective for closings on or after February 1, 2013.

Do not close any loans in your pipeline receiving Commission downpayment assistance funds until funds are received via wire transfer to the escrow company from the Commission for closings on or after February 1, 2013.

The Commission will absorb the $20 costs of the DPA wire transactions until March 1, 2013. After March 1, 2013, the Commission will net this fee out of the funding to the escrow company. Please note: the $40 DPA Program Application Fee will be netted out of the wire effective Feb 1st, 2013. Manual changes are forthcoming.

Because the Commission is precluded by state law from making a direct loan to the public, DPA second Notes and Deeds of Trust for all loans closing on or after February 1, 2013 must now be prepared in the name of the originating lender. The Note is endorsed to the Washington State Housing Finance Commission. The Deed of Trust is assigned to the Washington State Housing Finance Commission using a paper assignment until the Commission is set up with MERS. New Notes, Deeds of Trusts, and TILS will be been posted to the Commission’s Website for all downpayment assistance programs. Manual changes including our DPA Wire Transfer Authorization will also be posted shortly.

The current process will not change for the closing and funding of the first mortgages. Lenders will continue to close the loans in the Lender’s name for review and purchase by ServiSolutions.

The Lender’s closing department will need to include a copy of the completed Commission’s DPA Wire Authorization Form, along with written instructions to the escrow company, notifying them that funds for the loan closing will be provided for the second mortgage by the Commission.

Please feel free to contact Dee Taylor at dee.taylor@wshfc.org or Karen Carlson-Bunce at karen.carlson-bunce@wshfc.org with any questions.

Only loans with compliance approvals as shown on the Mitas reservation system will be eligible for wire funds to be sent to the escrow company at loan closing.

The Commission needs to receive the Commission’s DPA Wire Transfer Authorization Form no later than 10:00 am for same day wires. As wiring funds to loan closing is a new procedure for the Commission, we would appreciate as much advance notice as possible to ensure smooth loan closings.

We apologize for any inconvenience and appreciate your patience as we make this transition.

              

 
Home | About | CareersCommissioners | Contact UsEventsMy View Newsletter | Publications | Homeownership: Homebuyer Programs | Information for Lending and Real Estate Professionals | Multifamily Housing: 9% Housing Credit | Bond/Tax Credit | 80/20 Bonds | 501(c)(3) Housing BondsSpecial Programs: Energy | Farmer/Rancher | Nonprofit FacilitiesLand Acquisition Program | Property Managers: Asset Management and Compliance Information for Investors: Official Statements, Annual Reports, Interim Information |  Privacy Notice | Requests for Public Records 
Washington State Housing Finance Commission   Twitter Facebook
1000 Second Avenue, Suite 2700, Seattle, WA 98104 | Phone: 206-464-7139 or 800-767-4663 | Fax: 206-587-5113 | Contact Us |
©1998-2018 All Rights Reserved