correction: new reservation policy following canceled reservation
If a Participating Lender would like to re-reserve a canceled Reservation, for the same Borrower and Property, the following options are available:
Relock fees may be paid by the Borrower, Participating Lender, builder or seller, provided all such fees and payments comply with all applicable state and federal laws, regulatory requirements and applicable FHA, VA, USDA-RD, Fannie Mae, and Freddie Mac requirements. The fee will be debited against the funded loan balance as illustrated on the CHFA purchase advice.
- The Participating Lender may have the canceled Reservation reinstated. All terms including Interest Rate and Reservation Expiration date of the canceled Reservation apply.
- The Participating Lender may make a new Reservation at current market rate 31 calendar days from the Reservation cancellation date.
- If re-reserving within 10 calendar days, of the original reservation date, the Participating Lender may request a new Reservation subject to worst-case pricing and a relock fee of $250.00. A new Reservation Expiration Date will be established.
- If re-reserving after 10 calendar days, of the original reservation date, but within 30 calendar days of the Reservation cancellation date, the Participating Lender may request a new Reservation subject to worst case pricing and a cost of 0.35 percent of the First Mortgage Loan amount original principal balance. A new Reservation Expiration date will be established
Remember: Reservations are not transferable between lenders, borrower(s) or properties. Should the lender, borrower(s) or property change, the original loan will need to be canceled and a new loan can be locked at current market rate by submitting CHFA Form 707 to the CHFA Lock Desk.
Technical assistance is available by emailing
chfaLockDesk@chfainfo.com or calling 800.877.2432