Correspondent Delegated Workflow

Step 1:

Review the Application Submission Checklist

Step 2:

Using 2% or 3.5% of the purchase price, calculate the amount of the down payment assistance your client will be receiving. When running AUS, please ensure that you enter the 2% (or 3.5%) grant you just calculated as “Grant Source State Agency, Not Deposited”. Make sure this data also matches the Uniform Residential Loan Application (URLA) and that you receive an approve eligible AUS finding ( NOTE:  Maximum DTI is 48.99 ).

Step 3:

Obtain Homebuyer Counseling Certificate. (See Application Submission Checklist)

Step 4:

Have your clients fully execute:

• The DPA Program Disclosure
• The Down Payment Assistance Grant Letter
• The Advantage Application

Step 5:

Delegated Correspondent to determine eligibility and fully underwrite the file.

Step 6:

Register and/or lock the loan in AFR Loan Center and complete all mandatory fields.

Step 7:

No less than 5 business days prior to the date you would like the grant wired to the closing agent:

• Lock the loan if not already done so. ( NOTE: Delivery switches to mandatory delivery as of the closing date. Once the loan switches to mandatory delivery there is 500 bps fee for failure to deliver a closed loan ).

• In AFR Loan Center upload to AFR:
  • Fully executed DPA Program Disclosure
  • Fully executed DPA Application
  • Fully executed initial 1003
  • Fully executed purchase contract & all addendums
  • Fully executed Down Payment Assistance Grant Letter
  • Evidence of Home Education / Counseling (certificate of completion and invoice for the course)
  • The Initial Loan Estimate (make sure it includes the home education fee amount)
  • Wiring instructions
  • Settlement agent contact information

Step 8 (AFR):

Within 2 business days of completing step 6, AFR will confirm that you meet the program parameters and will authorize the Governmental Entity to wire the grant funds to the closing agent. Loan Feed activities will be added to the loan in AFR Loan Center when the funds are requested from the Governmental Entity and when the funds are sent. The fully executed “Assistance Grant Letter” will be available for download in the “Loan Documents” section of the loan in AFR Loan Center.