Contract Requirements

  • Minimum unpaid principal balance (UPB) of commitment: $1,000
  • Maximum UPB of commitment: $10 million (unless otherwise negotiated)
  • Separate contracts for each type of mortgage product
  • Separate contract for Affordable mortgage products with LTVs greater than 95%
  • Separate contract for Alt 97, Guaranteed Rural Housing, FHA/VA and 3- and 5-year Prepayment Protection mortgages
  • Servicing spread between 0.250% and 0.50%
  • Must fulfill commitment amount within tolerance level or will be charged a pairoff fee
  • Deliver mortgages that fall within the 51-basis-point range you choose at time of commitment
  • Lock in price for any coupon that falls within the range you choose
  • 5-, 10-, 15-, 30-, 45-, 60-, 75- or 90-day delivery
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