Government and Specialty Loan Program Updates

May 26, 2020

Government FICO Update

Gateway First Bank Correspondent Lending is amending the March 25, 2020 announcement requiring a 680 minimum FICO score on all Government loan programs.  Effective immediately, Gateway has reduced its minimum FICO requirement on all newly locked Government loan programs to 640.  This includes FHA, VA, USDA, HUD-184, SETH Goldstar, CAFA Gold 100, and GSFA Open Doors loan programs.

Underwriting Guidelines for all Government Loans: 

  • FHA, VA and USDA = Max DTI per AUS Approval
  • SETH Goldstar, CAFA Gold 100 and GSFA Open Doors = Max DTI 55% 

Manual Underwriting Guidelines for all Government Loan Programs:  FHA, VA, USDA, HUD-184, SETH Goldstar, CAFA Gold 100, and GSFA Open Doors programs:

Specialty Lending Program Updates

  • >80% AMI will no longer require charter MI
  • >80% AMI will require standard MI per Loan Product Advisor (LPA)
  • Minimum Fico remains at 680 for borrowers with >80% AMI
  • No DPA option will return for borrowers with <80% AMI

Helpful Resources

  • Gateway has published a Government Refinance Matrix, within Chapter 5 of our Client Guide located here
  • Gateway has published a list of Frequently Asked Questions on our website in response to COVID-19 FAQs

*Please note, these FICO and DTI changes do not include the Texas Veterans Land Board Program

Please direct any questions to your Regional Sales Manager

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