My web

Example of Prioritized SFCs

 Loan Delivery provides the ability to deliver up to 10 Special Feature Codes (SFCs). However, when a loan contains more than six SFCs, the SFCs are analyzed and prioritized based on key categories and attributes of the loan, to determine which six will be routed downstream.

NOTE: The additional SFCs (7-10) are automatically appended to the loan after submission via a post-purchase adjustment process.

Below is an example of a High-Balance loan with seven SFCs provided on a ULDD XML file.  

SFC 007 – Limited Cash-Out/No Cash-Out Refinance

SFC 127 – Desktop Underwriter® (DU®) loan

SFC 180 – No Flood Insurance - Not a Special Flood Hazard Area

SFC 212 – Broker Third-Party Origination

SFC 588 – Detached Condominium Unit

SFC 801 – Property Inspection Waiver (i.e. DU Value Acceptance (Appraisal Waiver))

SFC 808 – High Balance Conventional Mortgage Loan

Looking at the ULDD XML file for this loan, note that the SFCs were entered in numerical order.

 

Once the XML file has been imported into Loan Delivery, the SFCs are reordered on the Loan Terms screen. Loan Delivery has determined that the six (highlighted yellow) are the most important special feature attributes associated with this loan. The new order becomes:

  1. SFC 808 – High Balance Conventional Mortgage Loan
  2. SFC 007 – Limited Cash-Out/No Cash-Out Refinance
  3. SFC 212 – Broker Third-Party Origination
  4. SFC 127 – Desktop Underwriter® (DU®) loan
  5. SFC 588 – Detached Condominium Unit
  6. SFC 801 – Property Inspection Waiver (i.e. DU Value Acceptance (Appraisal Waiver))
  7. SFC 180 – No Flood Insurance - Not a Special Flood Hazard Area

SFC 180, No Flood Insurance - Not a Special Flood Hazard Area (see orange highlight), has been automatically appended to the loan through a post-purchase adjustment (PPA) process. This can be verified by viewing the original Schedule of Mortgages (SOM) report for this loan.

NOTE: Click on the Reports job aid - Schedule of Mortgages in the left-hand navigation panel for details on how to view or print the report.

NOTE: Keep in mind that while the final Schedule of Mortgages in Loan Delivery will display all SFCs (including 7-10), only the first six will display on the Schedule of Mortgages report located in MBS Online.