Module 7: Nontraditional VA Mortgage Programs, Part 2 8-Hour SAFE Comprehensive Continuing Education

Module 7: Nontraditional VA Mortgage Programs, Part 2 7.1 Nontraditional VA Mortgages: ARMs, GPMs, GEMs, and Interest Rate Buydowns Adjustable-Rate Loans Basic Features of ARMs Initial Interest Rate and Payment Adjustment Period Interest Rate Index Margin Interest Rate Adjustments Underwriting an ARM

Module 7: Nontraditional VA Mortgage Programs, Part 2 7.1 Nontraditional VA Mortgages: ARMs, GPMs, GEMs, and Interest Rate Buydowns Graduated Payment Mortgages (GPMs) Acceptable Use of GPMs Maximum Loan Amount and down Payment Required Amortization Calculation of Monthly Installments Annual Percentage Rate (APR) Calculation Underwriting Considerations Veteran’s Statement Other Requirements

Module 7: Nontraditional VA Mortgage Programs, Part 2 7.1 Nontraditional VA Mortgages: ARMs, GPMs, GEMs, and Interest Rate Buydowns Growing Equity Mortgages (GEMs) Amortization Examples Underwriting Loans Involving Temporary Interest Rate Buydowns Escrow Requirements Qualifying the Borrower Other Requirements

Module 7: Nontraditional VA Mortgage Programs, Part 2 7.2 Nontraditional VA Mortgages: Construction, Repair, and Energy-efficient Loans Construction/Permanent Home Loans Amortization What the Builder Must Pay Fees the Veteran Can Pay Interest Rate Funding Fee and Loan Reporting Loan Guaranty Certificate If Loan Proceeds Are Not Fully Dispersed

Module 7: Nontraditional VA Mortgage Programs, Part 2 7.2 Nontraditional VA Mortgages: Construction, Repair, and Energy-efficient Loans VA Energy-Efficient Mortgages Requirements for an EEM Borrower Notice on the Notice of Value Underwriting Considerations for EEMs Documentation Required with Closed Loan Package Calculation of the Guaranty and Entitlement Use Calculation of the Funding Fee Improvements Not Completed Before Closing Reimbursement to the Veteran out of IRRRL Proceeds

Module 7: Nontraditional VA Mortgage Programs, Part 2 7.2 Nontraditional VA Mortgages: Construction, Repair, and Energy-efficient Loans Loans for Alteration and Repair Supplemental Loans Required Lien and Maximum Loan Term Other Requirements Prior Approval of the VA or Automatic Loan Closing Procedures Guaranty and Entitlement Additional Procedures

Module 7: Nontraditional VA Mortgage Programs, Part 2 7.3 Nontraditional VA Mortgages: Multiple Borrowers, Farm and Manufactured Home Loans, and Loans on Trust Lands Joint Loans Joint Loan Terminology Calculating the Guaranty and Entitlement Use on Veteran/Nonveteran Joint Loans Occupancy How Many Units Can the Property Have? Calculating the Guaranty and Entitlement Use on Two Veteran Joint Loans Which Joint Loans Require Prior Approval? Underwriting a Joint Loan

Module 7: Nontraditional VA Mortgage Programs, Part 2 7.3 Nontraditional VA Mortgages: Multiple Borrowers, Farm and Manufactured Home Loans, and Loans on Trust Lands Farm Residence Loans Underwriting Loans for Manufactured Homes Classified as Real Estate Allowable Loan Purposes and Calculation of Maximum Loan Amount Loans to Native American Veterans on Trust Lands

Module 7: Nontraditional VA Mortgage Programs, Part 2 7.4 Housing Grants for Disabled Veterans Specially Adapted Housing (SAH) Grant Special Housing Adaptation (SHA) Grant Eligibility Benefit Applying for the Grant