NY TIRSA Fannie Mae Balloon Mortgage Endorsement Guideline 1993
Explanation:Purpose Of Endorsement:
This endorsement insures the lender against invalidity, unenforceability or loss of priority of the lien of the insured mortgage, based on the provisions providing for a Conditional Right to Refinance and extension of the loan term to the New Maturity Date, and changes of interest rate, exclusive of usury or consumer credit protection or truth-in-lending laws, provided the mortgagee adheres to the formula contained in the mortgage.
Underwriting Requirements:Requirements For Issuance:
(a) The loan documents must be on the Fannie Mae (or FNMA) forms for a balloon mortgage, and the mortgage or a rider to the mortgage must contain the provision relating to a conditional right to refinance and change of interest.
Issued With The Following Policies:
This endorsement is for applicable loan policies only.
The underwriting guidelines contained herein have been provided for general reference. The facts, circumstances, and location of the subject property should be considered when determining the issuance of the requested form or endorsement. Please note that all of the forms and endorsements included in this system may not be available in all states. Accordingly, please contact the appropriate Stewart Title Guaranty Company underwriting personnel in order to determine availability.
Compliance with the underwriting guidelines contained herein in no way obligates Stewart Title Guaranty Company to issue any form or endorsement.
This guideline applies to the following form(s):None