Removing Step Up Lender Fee Cap
In the December Lender Update, some positive changes to our Step Up Program were announced. One of those changes covered lender compensation. That announcement can be found at https://conta.cc/2IO5fDv.

Effective immediately, AHFA is removing the maximum fee cap of 3.50% for customary, reasonable, and discretionary fees lenders may earn on Step Up loans.

Step Up loans must still pass points and fees tests, and not be considered high-cost under Section 32 of Regulation Z Home Ownership and Equity Protection Act of 1994 (HOEPA) in order to be eligible for purchase.  

If you have questions, please contact Lisa Treece at ltreece@ahfa.com.
Alabama Housing Finance Authority | www.AHFA.com