CHANGE IN PROCEDURE FOR PORTFOLIO REFINANCE -APPRAISAL REQUIRED

CHANGE IN PROCEDURE FOR PORTFOLIO REFINANCE -APPRAISAL REQUIRED

Starting with loans submitted on or after April 22, 2010, all Portfolio refinances will not be underwritten without an appraisal. The pre-qualified loan (see Prequalification Procedures) will still be submitted (see Submission Procedures)and disclosed (if AFR is the lender). If AFR is not the lender, such as in a Table Funded or Correspondent relationship, the file will still be pre-qualified and submitted but will not be disclosed.

AFR will send the file to underwriting once an appraisal dated within 60 days of submission is received. Please send the appraisal to This e-mail address is being protected from spambots. You need JavaScript enabled to view it and/or your AFR Account Executive. (See Appraisal Procedures)

This procedure only applies to refinances submitted for AFR’s Portfolio program. All other programs will be underwritten with or without an appraisal.

***AFR’s Credit Guarantee***

AFR will reimburse the borrower for the appraisal if AFR’s underwriter declines the file for credit.

The following guidelines apply to our credit guarantee:

• The loan must have been pre-qualified by your AFR Account Executive and be uploaded into Webtrac prior to an appraisal being ordered.
• There cannot be any change from the original submitted credit report including scores, history, trade lines, etc.
• This does not apply to loans that receive an underwriting denial for any other reason.
• This does not apply if the loan is denied due to an unsatisfactory credit history that is not reported on the original credit report. Such as chapter 13 history, rent or private mortgage history, child support, etc.
• AFR will reimburse the borrower directly. AFR will not reimburse anyone other than the borrower.
• We must receive documentation that verifies that the funds to pay for the appraisal came directly from the borrower.
• The credit guarantee only applies to pre-qualified and submitted Portfolio refinances.

Please submit all credit requests to This e-mail address is being protected from spambots. You need JavaScript enabled to view it .

For a complete guide to our loan processing procedures, go to http://www.afrwholesale.com.