Specialty Lending Programs Update

Effective with new locks on February 10th, 2020 for SETH Goldstar, CAFA Gold 100, and GSFA Open Doors programs are being updated.

Freddie Mac announced in November as part of their responsible lending requirements, they will limit the HFA Advantage pricing benefit (LLPA and chartered MI) to loans with incomes at or below 80% AMI.  They are also suspending the $1,500 and $2,500 AIS Grants.

These new changes will be effective with new locks as of February 10th, 2020.  The last day to lock loans under the current program guidelines will be Friday, February 7th, 2020.   These loans must be purchased by Gateway by April 17thGateway will not be able to offer any lock extensions for these locks.

Beginning with new locks on February 10, 2020 borrowers with income below 80% AMI will follow the following terms:

  • 97% LTV – 105% CLTV mortgage
  • Charter Level MI Coverage – 18%
  • No loan level price adjustments

Beginning with new locks on February 10, 2020, borrowers with income above 80% AMI will follow the following terms:

  • 97% LTV – 105% CLTV
  • Standard MI and Standard Delivery fees may apply
  • Higher income limits (80.01 to 140% AMI) – *applies to SETH Goldstar and CAFA Programs only
  • Minimum FICO score of 680 required

Conventional Loan Limit Updates:
SETH Goldstar conventional loan limit is $484,350
GSFA Open Doors conventional loan limit is $510,400
CAFA Gold conventional loan limit is $510,400
TVLB loan limit is $510,400 for new locks as of 1/24/20

Specialty Lending Government Loan Guideline Updates (excluding Texas Vet)
Minimum FICO = 620
Max DTI with AUS Approval 55%.

Manual Underwrite guidelines:

Property Type Min FICO Max DTI Required Reserves
FHA 640 43% 2
VA 640 41% 2
USDA 640 41% 2


Please direct any questions to your Regional Sales Manager