1. DEROGATORY SEASONING MATRIX
Page 1 of 2 4/3/2014
CONVENTIONAL
Short Sale/Deed-In-Lieu
DU Loans:
 2 years: 80% maximum LTV/CLTV/HCLTV
 4 years: 90% maximum LTV/CLTV/HCLTV
 7 years: LTV per AUS
LP Loans:
 Short Sale: 4 years from completion date
 Deed-in-Lieu: 4 years from execution date
Foreclosure
 7 years if due to financial mismanagement
 3 years if due to extenuating circumstance (Owner occupied only and max 90% purchase, 95% rate/term)
Refinance of previously modified/restructured loans
 Non-subject property: follow AUS findings
 Subject Property: Rate-term only and 0x30 for 24 consecutive months on the restructured loan before closing on the new loan
Bankruptcy: 7 or 11
 4 years from Discharge/Dismissal Date (DU and LP Loans)
Bankruptcy: 13
 2 years from Discharge Date (DU and LP Loans)
 4 years from Dismissal Date (DU and LP Loans)
Multiple Bankruptcy Filings within the last 7 years
 5 years from the most recent Discharge/Dismissal Date
Multiple Financed Property Program
 7 years for BK or FC and 0 X 30 mortgage history in past 12 months
DU Refi Plus & LP Open Access
 Per AUS Findings FHA
Foreclosure
 3 years have elapsed since completion
 High Balance Cashout:
o Standard FHA Product: 7 years have elapsed since completion
o Bay Direct FHA Product: 3 years has elapsed since completion
Short Sale, Deed-In-Lieu of Foreclosure, Foreclosure
 3 years have elapsed since completion
 If no delinquencies in past 12 months prior to event then no seasoning is required
 High Balance Cashout:
o Standard FHA Product: 7 years have elapsed since completion
o Bay Direct FHA Product: 3 years has elapsed since completion
Refinance of previously modified/restructured loans
 A rate/term refinance of a modified or restructured loan is eligible if the following is met
o No current delinquencies and no late payment within past 12 months
 Not allowed if cash out transaction
Bankruptcy: 7 or 11
 2 years from Discharge or Dismissal
Bankruptcy: 13
 12 months pay history completed
o All payment have been paid as agreed
o Approval from the court
o Loan will require manual UW if the BK has not been discharged 2 years
Bay Direct FHA – Back to Work
 Allows 12 months seasoning on FC, SS and DIL if “Back to Work” Guidelines are met
o 20% decrease in income
o No delinquencies prior to income decrease
o Refer to Mortgagee Letter 13-26 for complete details

2. DEROGATORY SEASONING MATRIX
Page 2 of 2 4/3/2014
VA
Short Sale, Deed-In-Lieu of Foreclosure
 2 years have elapsed since completion
 If no delinquencies in past 12 months prior to event then no seasoning is required
 High Balance
o Standard VA Product: 7 years have elapsed since completion
o Bay Direct VA Product: 2 years has elapsed since completion
Foreclosure
 2 years have elapsed since completion
 High Balance
o Standard VA Product: 7 years have elapsed since completion
o Bay Direct VA Product: 2 years has elapsed since completion
Bankruptcy: 7 or 11
 2 years from Discharge Date
 High Balance
o Standard VA Product: 7 years have elapsed since completion
o Bay Direct VA Product: 2 years has elapsed since completion
Bankruptcy: 13
 12 months pay history completed
o All payment have been paid as agreed
o Approval from the court
 High Balance
o Standard VA Product: 7 years have elapsed since completion
o Bay Direct VA product: follow the above USDA
Short Sale/Preforeclosure
 3 years from recorded date of Deed of Trust
o Less than 3 years is acceptable if GUS approved and 640+ score. See USDA Guidelines
Foreclosure
 3 years have elapsed since completion
Bankruptcy: 7 or 11
 3 years from Discharge Date
Bankruptcy: 13
 3 years from Discharge Date
 12 months from repayment period.
o All payments made on time with written permission from the bankruptcy court/trustee