NJHMFA Seller’s Guide Updates - 2020
This bulletin details the 2020 updates to the Policy and Procedures (Seller’s Guide) for NJHMFA Participating Lenders. The 2020 version of the Seller’s Guide will take effect on January 1, 2020 and is currently available to review on the Agency’s website. Loans reserved prior to January 1, 2020 will be reviewed in accordance with the 2019 version of the Seller’s Guide which is also available on the Agency’s website.
Some of the key changes to the guide include updates to:
- New lender requirements and eligibility
- Loan expiration, cancellation and reapplication policies
- How rates are applied on program changes
- Allowable lender fees
- Product guidelines
- Power of Attorney requirements
- Principal reduction for the Smart Start DPA
The process regarding the application of principal reduction on loans that include Smart Start DPA has been updated in Section 9-2 of the Seller’s Guide, but is effectively immediately for any loans that will close after the date of this bulletin. This change has been made to create uniformity between both DPA products.
A summary of the full list of changes for 2020 can be accessed directly
The updated version of the 2020 Seller’s Guide is available under our Lender’s Resource Tab or directly