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Lender Alerts

Lender Alerts

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Reduction in LTV / CLTV Limits on FHA Cash-Out Refinance

(Applicable to Wholesale and Correspondent channel)

Dear Licensed Partner,

On August 01, 2019, FHA released Mortgage Letter 19-11 reducing maximum Loan-To-Value (LTV) and Combined Loan-To-Value (CLTV) percentages for Cash-out Refinance Mortgages to 80 percent (80%) of the Adjusted Value. This is effective for case numbers assigned on or after September 1, 2019.

Any loans currently submitted to Sun West with LTV / CLTV exceeding 80 percent must have case numbers assigned on or before August 31, 2019.

Updated program guidelines are now available in AllRegs (Wholesale, Correspondent).

If you have any questions on the update or how any of our submitted loans may be affected, please email Sun West’s underwriting scenario desk at or call our Underwriting Hotline at (800) 241-7113.


Sun West Mortgage Company, Inc.

6131 Orangethorpe Avenue, Suite 500
Buena Park, CA 90620
Phone: (800) 453-7884

SW-1: Our No Overlays Program

This information is provided to licensed mortgage professionals only and not for distribution to consumers. Please visit or refer to to see where Sun West Mortgage Company, Inc. (NMLS ID 3277) is a licensed lender and servicer. All Rights Reserved. We are not accepting applications from Georgia or Massachusetts residents. We are purchasing mortgages secured by Massachusetts properties but not Georgia. Sun West Mortgage Company, Inc. (NMLS ID 3277) holds a Financing Law License (#6030119) [Loans made or arranged pursuant to a California Financing Law license], licensed by the California Department of Business Oversight, Phone: (866) ASK-CORP and has a DRE Real Estate Corporation License Endorsement (#00793885), licensed by the California Department of Real Estate, Phone: (877) 373-4542.

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