Living Trusts and FHA Streamline Refi’s
All living trusts must have an Attorney's Opinion letter from the borrower's attorney verifying all of the following:
· The trust was validly created and is duly existing under applicable law,
· The trust is revocable,
· The borrower is the settler/grantor of the trust and the beneficiary of the trust,
· The trust assets may be used as collateral for a loan,
· The trustee is:
o Duly qualified under applicable law to serve as trustee,
o Is the borrower,
o Is the settler/grantor,
o Is fully authorized under the trust documents and applicable law to pledge or otherwise encumber the trust assets
· The trust must be signed, notarized and dated by all applicable parties.
Effective immediately we can no longer accept non-credit qualifying Streamline Refinances in the States of Colorado. Credit Qualifying Streamline refinances are not affected by this change in policy. This policy applies to all loans that are not currently locked.
Please feel free to contact your VP of Wholesale Lending or the Commitment Desk for further clarification if needed.
Thank you for your continued business!!
Equal Housing Lender | Illinois Residential Mortgage Licensee