As of April 18th, 2019, Gateway Mortgage Group Correspondent Lending aligned with the Federal Housing Administration (FHA) issuing HUD Mortgagee Letter (ML) 2019-06, Downpayment Assistance and Operating in a Governmental Capacity.
Effective immediately, reservations/locks for FHA SETH Goldstar & FHA CAFA Gold 100 Loans are temporarily suspended with Case Numbers dated on or after April 18, 2019. Clients are allowed to lock FHA loans in the GEMS Portal with Case Number Assignments prior to this date. Once, both SETH and CAFA have updated their program documents to align with documentation requirements on FHA loans where the borrower’s Minimum Required Investment is provided by a Governmental Entity, clients will be notified and again permitted to lock/reserve FHA loans for both the SETH Goldstar & CAFA Gold 100 loan programs.
New Loan Locks for FHA Case Numbers Assigned on and after April 18, 2019:
- Loans with FHA Case Numbers issued on or after April 18, 2019 are suspended from locking until SETH Goldstar & CAFA Gold 100 closing Documents are updated.
- Loans with Case Numbers issued prior to April 18, 2019 are permitted to lock in the GEMS Portal. All locks must provide evidence of the date of the Case Number Assignment issued prior to April 18th. Clients will need to upload these to the 1st lien Goldstar/CAFA Gold loan inside the GEMS portal within 24hours of lock.
This temporary suspension of FHA locks is for the SETH Goldstar and CAFA Gold 100 loan programs only. Conforming, VA and USDA loans for the SETH Goldstar and CAFA Gold 100 loan programs are still eligible.
Please direct any questions to your Regional Sales Manager.