Frequently Asked Questions:
Can I transfer an existing reservation from an HFA PreferredTM or HFA Advantage® product to the CALP program?
Only loans that were reserved between 2/12/20 and 2/18/20 are eligible to be "grandfathered" into the CALP program.
Are CALP loans eligible for submission throught the LEAN delegated review program?
No, CALP loans are excluded from the LEAN program and are not eligible as LEAN submissions.
How should CALP loans be run through AUS?
CALP loans should be run through DU as HFA PreferredTM and through LPA as Home Possible for HFA Advantage®. The AUS recommendation must be Approve/Eligible or Accept/Eligible. Manual underwrites are not allowed.
What Mortgage Insurance (MI) coverages are required for CALP loans?
CALP loans require the following MI coverages:
- 95.01% - 97% LTV: 25%
- 90.01% - 95% LTV: 25%
- 85.01% - 90% LTV: 25%
- 80.01% - 85% LTV: 12%
Please note that AUS findings will indicate different MI coverages than those stated here. This product is a hybrid combining CHFA and Conventional guidelines. The CALP MI coverages will supersede the MI coverages indicated on your AUS finding.
Will CHFA allow 2-4 unit properties to be underwritten through Freddie Mac's (FHLMC) LPA system?
No, Freddie Mac does not accept multi-family properties for their Home Possible for HFA Advantage® Program. You would not be able to provide an eligible AUS recommendation; therefore, only single unit properties are eligible for CALP loans run through LPA.
What CHFA Submission Form should be used for CALP loan program submissions?
The loan submission form is determined by the Servicer shown on the CHFA Commitment Letter.
Example below: AmeriNat (CHFA Form #009-1108A Conv - AM)
How is a CALP loan reserved in LOS?
Choose the "Conventional AMI Loan Program" from the drop-down menu in LOS. Select the applicable Mortgage Insurance company and coverage percentage or Uninsured option in the insurance section of the drop-down menu.
Are the CHFA Income Limits waived on CALP loans for properties located in Targeted Areas?
No, Income Limits apply on CALP loans for properties located in a Targeted Area.
Are the CHFA Income Limits applicable to CALP loans?
Yes, CHFA Income Limits apply to all CALP loans. All borrower income must be within the CHFA Income Limits and the Borrowers' Qualifying Income must exceed 80% of the AMI in order to be eligible for the CALP program. Separate income calculations for both Qualifying Income and CHFA Income Limits must be performed for all CALP loans.
Example Below:
Property Location = 999 West St. Rocky Hill, Application = Two (2) Borrowers on loan
*CHFA Income Limits Calculation: $86,000
*Qualifying Income Calculation: $81,000
Example Only - See FNMA or FHLMC current year limits
CONNECTICUT – 2020 AMI – FANNIE MAE & FREDDIE MAC
County Name**
|
2020
Area Median Income (AMI)
|
2020
Low-income - 80% (AMI)
|
Fairfield
|
$119,500
|
$95,600
|
Hartford
|
$97,800
|
$78,240
|
Litchfield
|
$102,600
|
$82,080
|
Middlesex
|
$97,800
|
$78,240
|
New Haven
|
$91,800
|
$73,440
|
New London
|
$93,000
|
$74,400
|
Tolland
|
$97,800
|
$78,240
|
Windham
|
$95,300
|
$76,240
|
* AMI for HFA PreferredTM and HomeReady® - or - HFA Advantage® and HomePossible® - or- CHFA CALP programs are identical.
** For 2020, all towns in each county have the same AMI.
This borrower maybe eligible for the CALP program:
1. Borrowers income (from all sources) is within CHFA Income Limits and,
2. Borrowers Qualifying Income exceeds 80% of FNMA AMI Limits.
Please see: "Loan Program Outlines & Underwriting Guides" for additional program information.