The Blueprint
Partner, Partner Plus, & Approved
What are the names of Centennial’s three different partner tiers?
The mortgage loan program that has a 0% down payment requirement.
What is a VA loan?
This is the maximum DTI ratio for conforming conventional loans.
What is 50%?
The easiest self-employment type to document, review, calculate and understand, yet exhibits the highest level of risk than any other self-employment type.
What is Sole Proprietor?
Or
What is Schedule C?
This sales philosophy is rooted in building an honest and mutually beneficial relationship between you and your members.
What is consultative sales and service?
Six
How many RESPA duties must the credit union perform on the Partner Plus tier?
This document is shopping tool and does not guarantee loan approval.
What is a pre-qualification or pre-approval?
This self-employment type does not have a business tax return.
What is Sole Proprietor?
Or
What is Schedule C?
The 3 year-period from closing in relation to income guidelines.
What is continuance?
When a borrower is using self-employment income to qualify for the loan, it is best to not use these.
What are business assets?
The type of income that is stable, predictable, and consistent and is therefore inherently lower-risk than variable income.
What is fixed?
A business arrangement between 2 or more people.
What is a partnership?
Any individual who has a 25% or greater ownership interest in a business.
What is self-employed?
These earnings may be used if the borrower has accessed the income (via distribution) or if the business has adequate liquidity to support the withdrawal of the income.
What is K-1 Income?
Or
What is Ordinary Income shown on the K1?
This type of question goes beyond the member’s initial stated need.
What is a seeking question?
A legal entity with a limited number of stockholders.
What is an S-Corporation?
Market Expert, Negotiator, Transaction Coordinator
What is a Real Estate Agent?
The form which must be completed for qualification on a VA loan.
What is the Loan Analysis?
Common examples of this include depreciation, depletion, and amortization.
What are non-cash expenses?
The income calculation method that requires a review of the income trend.
What is the averaging method?
This has no safe harbor or protection from liability on these loans.
What are Non-Qualified-Mortgage Loans?
Ensures the property is valued at or above the purchase price by the lender’s appraiser.
What is Appraisal Contingency?
The Annual MIP range for FHA loans
What is between 15 and 55 bps?
Business mileage depreciation may be added back in to the borrower’s income (cash-flow) only if the borrower used this when reporting car and truck expenses on line 9 of a Schedule C.
What is the “standard deduction”?
This type of assumption believes members either qualify now or can be guided toward qualification.
What are positive assumptions?