November 2, 2023 | Bulletin #23-18
Guidelines Updates for GSFA Platinum Program
Effective Immediately
The following guideline updates to the GSFA Platinum Down Payment Assistance Program are effective immediately:

For FHA, VA, and USDA Mortgage Loan Transactions --
Eligible Properties: 
  • Manufactured housing allowed with a minimum of 660 FICO and maximum DTI of 45% (no manual underwriting).

For Conventional Mortgage Loan Transactions --
Maximum DTI:
For loans underwritten through an AUS, unless a lower maximum DTI is required for product/property type per GSE, Insurer, or HFA guidelines:
  • For 1-2 unit properties, a 50% maximum DTI for loans underwritten through LPA with an “Accept” finding.
  • For 3-4 unit properties, a 45% maximum DTI for loans underwritten through LPA with an “Accept” finding and FICO below 680. Up to 50% for FICOs 680 and higher.

Program Term Sheets have been updated and published in the GSFA Platinum Lender Participation Guide online.

Additional Resources
Guidelines Updates for GSFA DPA Programs, Effective November 13, 2023
Updates Concerning Reservation Extensions and Origination Fees
Guidelines for Loan Reservation Extensions and Origination Fees for both the GSFA Platinum and Golden Opportunities Down Payment Assistance Programs are being updated as described below. These updates will be in effect for all loan reservations made on or after November 13, 2023.

Reservation Extensions
An extension to a reservation will require approval from the Program Manager (NHF) and will be subject to market conditions. A minimum fee of 0.25% of the First Mortgage Loan amount will be applied to extensions. Two extensions are available for (15) days each.

For Platinum (US Bank):
For loans not yet delivered to the Master Servicer, an extension to a reservation will require approval from the Program Manager. The Program Manager will invoice the lender for the extension fee. For loans delivered to the Master Servicer, an expired loan will be extended automatically to allow for review and purchase, until the maximum extensions have been reached. Loans extended by the Master Servicer will be netted at loan purchase. Two extensions are available for (15) days each. The cost of an extension is 0.25% of the total First Loan amount.
 
For Golden Opportunities (TMS):
For loans not yet delivered to the Master Servicer, an extension to a reservation will require approval from the Program Manager. For loans delivered to the Master Servicer, an expired loan will be extended automatically to allow for review and purchase, until the maximum extensions have been reached. Two extensions are available for (15) days each. Extension fee(s) will be netted at loan purchase by the Master Servicer. The cost of an extension is 0.25% of the total First Loan amount.

 
Fees and Points Lender May Charge to Borrower
Origination Fee: Allowed up to 2.50% of the First Mortgage Loan.

Program Term Sheets have been updated to reflect the changes above and published in the respective Lender Participation Guides online.

We hope that these changes and enhancements will provide more accessibility and benefits for both Participating Lenders and borrowers.


Additional Resources
© 2023 Golden State Finance Authority. All rights reserved.

Program Bulletins are intended for mortgage professionals only. This is not an offer for extension of credit nor a commitment to lend and is subject to change without notice. Complete program guidelines, loan applications, interest rates and annual percentage rates (APRs) are available through GSFA Participating Lenders.

For questions or additional assistance regarding this bulletin, please call us toll-free at (8555) 740-8422 or email info@gsfahome.org.

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