As a flurry of updated guidelines and premiums emanate from the mortgage insurance industry, Genworth Mortgage Insurance relaxing its jumbo guidelines, addressing new mortgage rules and again lowering its premiums.
Earlier this week, Mortgage Guaranty Insurance Corp.’s operating unit announced reduced insurance premiums and a loosening of its underwriting guidelines.
A week earlier, Radian Guaranty Inc. released updates that included the doubling of available cashout, enhanced jumbo guidelines and lower premiums.
And Genworth disclosed program improvements in September — just two months after it updated in mortgage insurance rates.
Now, Genworth is at it again.
The Raleigh, N.C.-based firm issued Announcement 2013-6 indicating that its monthly premium plans are being decreased by 5 basis points on all loan-to-value and credit score buckets.
Guidelines on loans in excess of the $417,000 conforming limit are being expanded.
Maximum LTV ratios are being increased to 95 percent on loans up to $625,500. Borrowers need a minimum credit score of 720, and the maximum debt-to-income ratio is 41 percent.
In addition, LTV ratios on loans up to $850,000 are being expanded to 90 percent. If the credit score is at least 720, the maximum DTI ratio is 41 percent, while it rises to 45 percent with credit scores of at least 740.
Genworth said the changes impact M.I. applications received on or after Nov. 18.
The mortgage insurer also addressed the upcoming implementation of rules from the Consumer Financial Protection Bureau.
“As you prepare for the Jan. 10, 2014, implementation date of the Dodd-Frank rules for Qualified Mortgage and Ability to Repay, please keep in mind that in addition to our monthly premium plans, Genworth has a full suite of QM friendly products, including annual, refundable single and split premium plans,” the announcement stated. “Look for additional updates to these plans in the coming weeks.”
