Payment servicing company: Their web site is www.afts.com, Gary is the contact in Seattle Wash 800-275-2033.
Another Loan servicing company NMLS licensed – they also offer software for in house servicing http://www.multi-fin.com/Services.aspx
If you are going to lend on owner occupied residential property here are some links and a sample process you could review with your attorney or trusted adviser to stay legal.
Sample Procedure for covered “high cost mortgage loans” January 10, 2014
Issue GFE and local housing counselor list printed or PDF within 3 days of application.(all residential loan types not just high cost)
Broker to print based on borrower zip code
Receive signed certificate from counselor – (high cost loans only)
Order appraisal at consumer expense with interior inspection from appraisal vendor or appraisal management company (AMC).
If property was sold within 180 days prior order 2nd appraisal at broker or lender expense.
Must verify income PITI max safe DR is 43% back end – assumed 43% rule may allow higher based on compensating factors but this is safe debt to income ratio.
Issue section 32 disclosure 3 days before consumer is to close – ( issue up front with GFE)
Close with 3 day right to cancel on refinances
Escrows are also required however we believe the small investor who has not been collecting escrows can be exempt from this requirement – seek legal advice if unsure as always
No balloons or prepayment penalties – late fees 4% max
Must not refinance high cost to high cost loans within a year
Loan fees above 5% are fine since the loan is considered high cost by APR – must provide 3 day section 32 type disclosure ALL high cost loans, purchase loans no longer exempt
In order to provide non high cost mortgages rate must be APOR INDEX plus 6.5% and fees less than 5 points also must pass other two “tests” max APR example: APR 11.05% as of APOR checked 01 21 2014 terms 23 yrs and greater – download weekly spreadsheet from calculator site to check current APOR.
Be sure to check our live resources page for updates and more extras. http://www.c-mortgage.com/private-mortgage-resources/