Loan impact
Summarized from the announcement · verifiedApplies to: FHA Standard and Limited 203(k) rehabilitation mortgages purchased by Pennymac.
- Addressed to
- Pennymac correspondent sellersFrom the publisher, not quoted from the text
- Investor
- PennymacFrom the publisher, not quoted from the text
- Affected areas
- Products; Renovation
- Applicability confidence
- Verified: every row taken from the source text is supported by it; rows marked "from the publisher" are not quoted
Summary by AWACS. Pennymac Correspondent's guide is proprietary, so AWACS does not reproduce its text. Read the official announcement ↗ (opens in a new tab)
What changed
Summarized from the announcement| Requirement | Previously | Now |
|---|---|---|
| Permitted draw count on Limited 203(k) loansRelaxed | Not stated | Up to four contractor draw requests are now authorized. |
| Disbursement rules per draw on Standard 203(k) loansClarified | Not stated | Multiple disbursements within a single draw are explicitly permitted across up to five total draws. |
What to do
AWACS interpretation · not source languageWhat to review: Review the updated 203(k) guidelines permitting up to four contractor draw requests on Limited 203(k) loans and clarifying multiple disbursements across up to five draws on Standard 203(k) loans.
QC implications
- Sample Limited 203(k) loans utilizing up to four contractor draw requests to confirm compliance with updated draw limits.
- Verify that Standard 203(k) files with multiple disbursements per draw do not exceed the five total draw limit.
Source and record
Version 1 · archivedChecks
Source verified: Passed
The document ID, link and publication date match the official source.
Quotes match the source: Passed, adjusted automatically
Every quoted passage appears word for word in the official document.
- A detail the source does not support was removed or adjusted
Requirements backed by the source: Passed
Anything marked required is backed by the requirement language and dates in the source.
In scope: Passed
The document is about residential mortgage lending.
Format and labels: Passed
The record follows the AWACS format and uses its standard labels.
Source
- Announcement 26-84 (official) ↗ (opens in a new tab)
- Archived copy, SHA-256 f0e33e7ecb48…
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