Enact Holdings, Inc. · NASDAQ:ACT
Enact — Technical Presentation (May 2021)
24 slides from Enact's technical presentation, May 2021
Slide 1: Understanding a Second Home Purchase Transaction
Understanding a Second Home Purchase Transaction May 2021 Genworth Mortgage Insurance Corporation and Genworth Mortgage Insurance Corporation of North Carolina ©2021 Genworth Mortgage Insurance Corporation. All rights reserved.
Slide 2: Webinar communication box instructions
If the communication box isn’t showing you should see the gray strip. Click on the orange arrow to open the box. Submit comments and/or questions 2
Slide 3: Genworth MI is now Enact
Genworth MI is now Enact We’re changing to remain focused on you. As part of our evolution, we are now known as Enact. We’re building on our trusted reputation for quality service and success with an increased focus on providing responsive solutions and insightful expertise for you. Learn more at ht
Slide 4: URLA Section 4 Loan and Property Information
URLA- Section 4 Loan and Property Information 4
Slide 5: Fannie Mae Second Home Guidelines
Fannie Mae Second Home Guidelines
Slide 6: Fannie Mae LL-2021-08
Fannie Mae LL-2021-08 In response to the recent PSPA changes limiting acquisitions of Second Homes and Investment properties to 7% of their total, Fannie is now requiring all Second Home and Investor loans be delivered as DU loans with one exception. The exception is high LTV refinance Second Homes
Slide 7: Second Home - Fannie Mae
Second Home- Fannie Mae General Requirements include- • must be occupied by the borrower for some portion of the year • is restricted to one-unit dwellings • must be suitable for year-round occupancy • the borrower must have exclusive control over the property • cannot be subject to any agreements t
Slide 8: Second Home - Fannie Mae Eligibility Matrix
Second Home- Fannie Mae Eligibility Matrix https://singlefamily.fanniemae.com/media/20786/display 8
Slide 9: Second Home - Fannie Mae LLPA Matrix
Second Home- Fannie Mae Fannie Mae LLPA Matrix https://singlefamily.fanniemae.com/media/9391/display 9
Slide 10: Second Home - Fannie Mae - Reserves
Second Home- Fannie Mae - Reserves • Subject property reserve requirement – 2 month PITIA • Calculation of Reserves for Multiple Financed Properties If the borrower owns other financed properties (determined in accordance with B2-2-03, Multiple Financed Properties for the Same Borrower) and is finan
Slide 11: Reserve Calculation Example: Fannie Mae
Reserve Calculation Example Fannie Mae 11
Slide 12: Freddie Mac Second Home Guidelines
Freddie Mac Second Home Guidelines
Slide 13: Bulletin 2021-11
Bulletin 2021-11 Due to changes in the PSPA, Freddie announced they will only buy Investor properties and Second Homes that are LPA Risk Class Accept for settlement dates on or after May 1, 2021 (no manually underwritten loans). Additionally, effective 4/15, non-LPA loans secured by investment prope
Slide 14: Freddie Mac - Second Home
Freddie Mac- Second Home Freddie Mac Selling Guide. (a)Eligibility requirements • The following eligibility requirements apply to second home Mortgages: • The Mortgage must be secured by a 1-unit property • The Borrower must occupy the second home for some portion of the year • The Borrower must kee
Slide 15: Freddie Mac - Second Home
Freddie Mac- Second Home Reserves are measured by the number of months of the monthly payment amount for the property. The monthly payment amount is the sum of the following monthly charges: • Principal and interest payments on the Mortgage • Property hazard insurance premiums • Real estate taxes •
Slide 16: Freddie Mac - Second Home Minimum Required Reserves
Freddie Mac- Second Home Minimum Required Reserves For Loan Product Advisor® Mortgages, the Seller must verify all reserves required by Loan Product Advisor, as stated on the Feedback Certificate. The amount of reserves stated on the Feedback Certificate and required to be verified for Loan Product
Slide 17: Reserve Calculation Example: Freddie Mac
Reserve Calculation Example Freddie Mac 17
Slide 18: Reminders
Reminders • Property must be a 1-unit • The loan must be run through an AUS (an exemption may apply). • No rental income from the subject property may be used for qualifying purposes. • Each Borrower individually and all Borrowers collectively must not be obligated on (e.g., Notes, land contracts an
Slide 19: Enact Rate Express
Enact Rate Express® Gomworth Mi is now Enact MIRRATES | UNDERWRITING BGUIDES | LOS CONNECTIONS | ENACT TOOLKIT | TRAINING our sLoc Anour us e’ve changed to remain focused on you. Genworth MI is now Enact. Og Rate Express Find Rates Quick Oc rcsonton fe & Training Blas °°2%* Your Knowledge LEARN NOW
Slide 20: Enact Underwriting Guidelines
Enact Underwriting Guidelines 20
Slide 21: Enact Training Resources
Enact Training Resources Enact ——— =— MIBRATES | UNDERWRITING 8 GUIDES | LOS& CONNECTIONS | ENACT TOOLKIT TRAINING We've changed to emain focused on you. Genworth MI is now Enact. fe & Training Blass 9°08" Your Knowledge LEARN NOW Underwriting Innovate Underwriting KNOW Mone at “Enact
Slide 22: Enact Training Resources
Enact Training Resources 22 Self-Employed Borrower Tools by Enact MI We get it, mental math is hard. That's why Enact provides a collection of dawnloadiable calculators and reference guides to help you analyze a self-employed borrower's average monthly income and expenses, Please note that these too
Slide 23: Your Enact Resources
Your Enact Resources • ActionCenter® : 800-444-5664 • Your Local Enact Regional Underwriter • Your Enact Sales Representative 23
Slide 24: Legal Disclaimer
Legal Disclaimer Enact Mortgage Insurance is happy to provide you with these training materials. While we strive for accuracy, we also know that any discussion of laws and their application to particular facts is subject to individual interpretation, change, and other uncertainties. Our training is