This training covers Chenoa Fund programs including an overview of conventional and FHA programs, how to calculate AMI, how to complete the URLA, underwriting, locking loans, securing DPA approvals, drawing documents, purchase clearing, final documents, servicing, and why to use Chenoa Fund. It provides instructions on completing TRID disclosures for both first and second mortgages. It also details how to reflect CBCMA secondary financing on the URLA, AUS, and closing documents for conventional loans as well as how to handle loans receiving an "Out of Scope" determination from Desktop Underwriter.

1. CBCMA Training
Series

2. This Training Includes …
1 – All Chenoa Fund Programs Overview
Conventional / FHA
2 – How to Calculate AMI
3 – Pre-Registration: The URLA
Conventional / FHA
4 – Underwriting
5 – Lock Desk
6 – How to Lock a Loan
7 – How to Secure DPA Approvals
8 – How to Draw Documents
9 – Purchase Clearing: Uploading
10 – Purchase Clearing: Conditions and
Escalations
11 – Final Documents
12 – Servicing
13 – Why Use Chenoa Fund
Conventional / FHA

3. • Both the first and second mortgages
require a full set of TRID compliant
disclosures:
• Signed Initial URLA
• LE (and COC LE if you don’t lock initially)
• Initial CD
• Final CD
• See our Correspondent Lending Guide,
section 5.34.7 and 7.22, for a full list
(chenoafund.org)
Required Documents

4. • List the secondary financing on the URLA
• Under “Creditor Name” put “CBCMA” (never “Chenoa” or “Chenoa Fund”)
Secondary Financing on URLA (1st Mortgage)

5. Image: Where to disclose the DPA.
Put “No” for “C” if no other money besides subordinate funding
(4b) was disclosed. This section is not to be used for Chenoa
Fund’s down payment contribution.
Declarations Page of URLA (1st Mortgage)

6. Reflecting Secondary Financing in AUS️ (1st Mortgage)
• Page 2, “Source of
Down Payment”: select
Secured Borrowed
Funds
• The explanation is
always CBCMA, not
Chenoa Fund
Running a Conventional Loan—Borrowers Summary Screen
Equity from Subject Property

7. Reflecting Secondary Financing in DU®️ (1st Mortgage)
For Conventional files : This is in the streamline 1003 area.
Fannie Mae additional data
Please note if your are doing Standard 97 leave Fannie Mae’s community lending product blankStreamline URLA Area: HomeReady Conventional
*Legal Disclaimer: Neither CBC Mortgage Agency (CBCMA), nor any Chenoa Fund products, are approved
by or affiliated with Fannie Mae. Originating lenders are responsible for ensuring that their use of CBCMA
second mortgages and conventional first mortgages are compliant with Fannie Mae requirements.
CBCMA is not FNMA approved. Lenders are never able to assign DU®️ findings to CBCMA or Chenoa Fund.
This can be found underneath the Fannie Mae additional data
screen.
Special Feature Codes for Community Lending: 118 and 127

8. Reflecting Secondary Financing in DU®️ (1st Mortgage)
Streamline URLA Area: Conventional 97
*Legal Disclaimer: Neither CBC Mortgage Agency (CBCMA), nor any Chenoa Fund products, are approved
by or affiliated with Fannie Mae. Originating lenders are responsible for ensuring that their use of CBCMA
second mortgages and conventional first mortgages are compliant with Fannie Mae requirements.
CBCMA is not FNMA approved. Lenders are never able to assign DU®️ findings to CBCMA or Chenoa Fund.
This can be found underneath the Fannie Mae additional data
screen.
Special Feature Codes for Community Lending: 118 and 127

9. The DPA must be listed as “CBC Mortgage Agency 2nd Lien” or “CBCMA
2nd Lien” between sections L.04 and L.07.
1st Lien Closing Disclosure (1st Mortgage)

10. • If you take out the net proceeds from
the second lien, make sure you put the
principal balance in parentheses on the
CD for the first mortgage.
• Top screenshot (example): Principal
balance without net proceeds taken
out.
• Bottom screenshot (example): Principal
balance with net proceeds taken out.
1st Lien Closing Disclosure (1st Mortgage)

11. Important Reminder
• You must deliver disclosures to borrower per TRID
guidelines
• The LE must be mail-stamped or signed by borrower
within 3 days of the URLA
• Digital signatures are acceptable

12. Desktop Underwriter
in Detail (First
Mortgage)

13. • When registering a 97% LTV Fannie Mae
conventional loan, it may register as “Out
of Scope”
• This could be caused by problems
between the upfront LOS and Fannie’s
system
• The following slides will teach you how to
handle this
“Out of Scope”

14. Go directly to the Fannie Mae EDIT Menu
Fannie Mae DU

15. Reflecting Secondary Financing in DU®️ (1st Mortgage)
*Legal Disclaimer: Neither CBC Mortgage Agency (CBCMA), nor any Chenoa Fund products, are approved
by or affiliated with Fannie Mae. Originating lenders are responsible for ensuring that their use of CBCMA
second mortgages and conventional first mortgages are compliant with Fannie Mae requirements.
CBCMA is not FNMA approved. Lenders are never able to assign DU®️ findings to CBCMA or Chenoa Fund.
This can be found underneath the Fannie Mae additional data screen in
“Additional Loan Data Community Lending Information”
1. If Conventional 97, leave ”Community Lending Product” blank
2. If HomeReady, select “08 HomeReady” in the above box
3. In “Community Seconds,” select “Yes”
4. Select “01 Any payment required within first five years”
5. Input FIPS Code: 127, 118