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

2. 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

3. 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

4. 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

5. 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

6. 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

7. 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

8. 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

9. 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

10. 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