The FHA 203k Worksheet will display when Forms & Docs > 1003 > Government tab > FHA Purchase section > Section Of The Act drop-down list displays 203(k) FHA Rehabilitation or 203(k)/251 FHA Rehabilitation ARM. Users can edit and print the FHA 203K worksheet with the applicable user rights enabled within the Admin Site.
The FHA 203K worksheet is made up of 8 sections, most of which are manually input fields.
Most of the Borrower Information section will be grayed out and populated from Forms & Docs > 1003 > Property, Borrower and Government tabs. It contains the fields Borrower name, Co Borrower name, FHA Case Number and the Property Address.
The fields HUD-REO Property, Type and Purchase date (owned less than 6 months) can be manually adjusted in this section.
Purchase or Refinance check boxes will be marked based on Forms & Docs > 1003 > Property tab > Purpose of Loan drop-down list selection.
Mark the Streamlined check box if the loan will be an FHA 203(k) Streamline and unmark the check box if the loan is a Standard FHA 203(k). When Streamline is marked, section B. Rehabilitation and Other Allowable Costs > Lines four, six and seven will be grayed out.
Tip: If Streamlined is marked and Total Cost of Repairs is greater than $35,000, the user will get a message window that displays: B14 - Streamlined (K) cannot exceed $35,000 when Save/Close is clicked.
A. Property Information
The Contract Sales Price will populate from Forms & Docs > 1003 > Transaction Details tab > Purchase Price field.
The As-Is Value, After-Improved Value fields, Borrower Paid Closing Costs and Allowable Energy Improvements fields are manual entry fields.
The 110% of A3 field will automatically calculate once a value in the After-Improved Value field has been entered.
B. Rehabilitation and Other Allowable Costs
Manually enter the Total Cost of Repairs.
Enter a number in the Contingency Reserve on Repair Costs field to represent a percentage of the value for Total Cost of Repairs. Once the percentage is entered, the field will automatically calculate accordingly.
Users can input the number of required inspections and cost per inspection along with the amount of Title Updates and cost per draw. The sum of the inspection and title update costs will be calculated accordingly.
If applicable, enter Mortgage Payment Escrows by entering a value for the number of months to collect escrows for mortgage payments and the monthly mortgage payment amount. Once both fields have values, the total amount to collect for escrows will calculate accordingly.
Sub-Total for Rehabilitation Escrow Account will be the sum of lines one through four.
Users can enter a value for Architectural and Engineering Fees.
Consultant Fees can be entered with a dollar amount or mileage can be included if applicable. Once the fields are completed, the total Consultant Fees will calculate.
Indicate Permit fees and Other Fees as applicable.
Tip:
If Other Fees exist, users can utilize the Remarks text box located at
the bottom of the FHA 203(k) Worksheet to specify the fees.
Sub-Total will be the sum of lines five thru nine.
The Supplemental Origination Fee will calculate based on 1.5% of the Sub-Total figure in line 10 or it will be $350; whichever is greater.
If applicable, enter a percentage for Discount Points on Repair Costs and Fees and the dollar amount will automatically calculate based on the Sub-Total figure in line 10.
Sub-Total for Release at Closing will be the sum of lines six thru nine, line 11 and line 12.
The Total Rehabilitation Cost will automatically calculate based on the figures in section B.
C. Mortgage Calculation for Purchase Transactions
Lines one thru seven will automatically calculate based on the logic described in each line if Forms & Docs > 1003 > Property tab > Purpose of Loan drop-down list displays Purchase. The Maximum Mortgage Amount will display. If a user tries to edit a value in any of the fields, the calculated value will revert back.
If the transaction is a refinance, these fields will be grayed out.
D. Mortgage Calculation for Refinance Transactions
Lines one thru five will automatically calculate based on the logic described in each line if Forms & Docs > 1003 > Property tab > Purpose of Loan drop-down list displays Refinance. The Maximum Mortgage Amount will display. If a user tries to edit a value in any of the fields, the calculated value will revert back.
If the transaction is a Purchase, these fields will be grayed out.
E. Calculation for Energy Efficient Mortgage
Mark the check box if the loan is an Energy Efficient Mortgage. If the check box is marked, the EEM Amount will populate based off of the shown calculation.
Up Front Mortgage Insurance Premium (UFMIP) will populate from Forms & Docs > 1003 > Transaction Details tab > Upfront MIP % drop-down list selection.
Total Escrowed Funds can be manually entered.
The Interest Rate will populate from Forms & Docs > 1003 > Terms tab.
Discount Points will populate from Forms & Docs > GFE/IFW > Line 802.
The Maximum Mortgage Amount with UFMIP will calculate according to the logic displayed. If a user tries to edit the value in this field, the calculated value will revert back.
If applicable, Direct Endorsement (DE) Underwriters will automatically populate.
Computerized Homes Underwriting Management System (CHUMS) Number can be edited here or it will populate from Forms & Docs > FHA Transmittal > Additional Information > CHUMS ID #.
There is a Remarks text box to type additional information if applicable.