USDA to Increase Upfront Guarantee Fee for Single Family Housing Guaranteed Loan Program
Dear Licensed Partner,
The USDA has announced that the upfront guarantee fee for purchase and refinance loans under USDA's Single Family Housing Guaranteed Loan Program will increase from 2.00% to 2.75%. The new fee will apply to loans with Conditional Commitments issued from October 1, 2015 through September 30, 2016. The annual fee (monthly PMI) of 0.50% will remain unchanged.
Effective for USDA loans submitted to Sun West on or after September 23, 2015, Sun West requires the new 2.75% upfront guarantee fee to be disclosed.
All existing USDA loans in the pipeline where the conditional commitment is not issued by USDA by close of business day September 30, 2015 must be redisclosed with the new 2.75% guarantee fee and Sun West will reunderwrite with the new 2.75% guarantee fee and resubmit the application package to USDA.
If you have any questions, please contact your Client Relations Manager at (855) OK-SUNWEST or (855) 657-8693.
This information is provided to licensed brokers/lenders only and may not be copied or distributed to customers or potential customers. All loans are subject to approval. Certain restrictions may apply. Listed pricing is a morning indication only. Program rates, prices, guidelines, fees, costs, terms and conditions are subject to change without notice.