HomeBridge is advising brokers that a number of mortgage insurance companies are applying an overlay to Fannie Mae and Freddie Mac DTI requirements. The effective date varies by individual company as detailed below.
Transactions with a DTI > 45% will now require a credit score ≥ 700 to be eligible for mortgage insurance with the following MI companies utilized by HomeBridge (previously DTI requirements were per DU/LPA):
- Essent: New credit score requirement effective with mortgage insurance applications received on or after March 12, 2018
- Genworth: New credit score requirement effective with mortgage insurance applications received on or after March 19, 2018.
- Radian (borrower paid single premium and lender paid only): In addition to the ≥ 700 credit score requirement the LTV must be ≤ 95%. New requirements effective with mortgage insurance application received on or after March 19, 2018.
NOTE: Radian borrower paid monthly MI DTI requirements continue to be per DU/LPA
The MI Comparison chart has been updated with this information and posted on the HomeBridge website at www.HomeBridgeWholesale.com under “Reference Guides – General
