Selling Guide

Published December 4, 2019

  • Selling Guide: Main Page
    • Part B: Origination Through Closing
      • B5: Unique Eligibility and Underwriting Considerations
        • B5-5: Community Seconds, Community Land Trusts, and Loans with Resale Restrictions
          • B5-5.1: Community Seconds and Community Land Trusts
            • B5-5.1-03: Community Seconds Delivery Considerations (07/28/2015)

B5-5.1-03: Community Seconds Delivery Considerations (07/28/2015)

This topic contains information on Community Seconds delivery considerations, including:

Special Feature Codes and Other Reporting

The lender must always report SFC 118 when it delivers a first mortgage that is originated as part of a Community Seconds transaction. Additionally, SFC 630 must also be delivered if the affordable LTV ratio calculation method was used (see B5-5.1-02, Community Seconds Loan Eligibility) .

The lender must report all other applicable special feature codes.

The lender is required to provide the Community Seconds mortgage amount and the principal and interest payment for the Community Seconds mortgage so that the CLTV ratio and monthly housing expenses are accurately reported.

Loan-Level Price Adjustments

If subordinate financing qualifies as a Community Seconds, loan-level price adjustments otherwise applicable to subordinate financing do not apply.

Related Announcements

The table below provides references to the Announcements that have been issued that are related to this topic.

Announcements Issue Date
Announcement SEL-2015–08 July 28, 2015
Announcement SEL-2013–03 April 9, 2013
Announcement SEL-2012–06 June 26, 2012