Bank Endorsed Pay Order CLOSED LOAN PURCHASE BROKER DRAWN by vnc17890

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									                           CLOSED LOAN PURCHASE / BROKER DRAWN DOCUMENTS
                                    CONVENTIONAL AUDIT CHECKLIST
                                               Audit must be completed prior to funding


Borrower:
Loan #:                                                                 Prepared by:

 NOTE
     Original Note is endorsed to MetLife Home Loans, a Division of MetLife Bank, N.A.
             Endorsed as either: (i) the appropriate legal name for MLHL OR (ii) the appropriate attorney-in-fact verbiage on the last
              page of the Note as follows:
                  o Pay to the order of
                       Without recourse
                       MetLife Home Loans, a Division of MetLife Bank, N.A.
                       (Broker's name as it appears on the closing documents)
                       by: _______________________________________
                           First Name Last Name, attorney-in-fact
     Borrower name and property address match Security Instrument, sales contract and appraisal.
     Borrower signed exactly as typed
     Signatures on all documents are identical
     Date matches Security Instrument
     Loan amount, interest rate, and term matches Underwriting Approval, lock confirmation, TMO, Security Instrument
     P&I (IO) is calculated correctly
     First payment date and maturity date correct
     ARM caps, margin, index, and change date correct, if applicable
     Property address matched Security Instrument
     Note addendums attached, as required
              Balloon Rider Addendum
              ARM - caps, margin, index, change date
              Timely Payment Rewards Addendum
              Other:
     Correct document
 SECURITY INSTRUMENT
     Certified copy in file
     MOM language and MIN# are included (MERS registered, if not Assignment required)
     Borrowers signed exactly as typed
     Name, loan amount, maturity date and term match Note, Underwriting Approval, lock confirmation, TMO
     Date matches date on Note
     Trustee information correct and lender named as beneficiary
     County information correct
     Notary acknowledgment is completed (signed, dated, stamped)
     Boxes are checked to indicate proper riders attached for recording
              PUD rider
              Condo rider
              1-4 family rider
              Balloon rider
              ARM rider
              Second home rider
              Waiver of Borrower's Rights
              Timely Payment Rewards Rider
              Other:
     Signatures on all documents are identical




Page 1 of 5                                                                                                                       07-18-2007
                                                                                  Closed Loan Purchase/Broker Drawn Documents
                                                                                                    Conventional Audit Checklist


 ASSIGNMENT (if not MERS registered)
     Certified copy of intervening assignment, completed in its entirety
     Closing date matches Security Instrument
     Borrower’s name match Note, Underwriting Approval, lock confirmation, TMO
     Legal description matches Security Instrument
     Completed witnessed, notarized and assigned to MetLife Home Loans, a Division of MetLife Bank, N.A.
     Execution date and notary date match
     Recording information included
 BUYDOWN AGREEMENT
     Agreement executed by all parties
     Total buydown amount is correct
     Funds are reflected on HUD-1
     Buydown per program guidelines
 SETTLEMENT STATEMENT
    HUD-1 and addendum executed by all borrowers, sellers, and closing agent
    Based on LTV - seller contributions do not exceed guidelines
    No credits to borrowers are reflected on front page 1, other than normal tax pro-rations or others that are
    acceptable. NO LUMP SUM CREDITS.
    Aggregate adjustment is on line 1008 of the HUD-1
    Borrower’s names and current address are reflected on page 1
    Seller's names and current address are reflected on page 1 (N/A for refinance transactions)
    Seller matches seller’s name on title commitment (N/A for refinance transactions)
     Closing Agent name and address listed on page 1 is same agent on title commitment & insured closing letter
     Property address is complete and correct
     Settlement date is completed
     Lender’s name and address reflected
     Loan type, file number, and loan number indicated
     Loan amount consistent with note
     Proper disclosure of fees reflected-i.e. Third Party Service Provider identified, POC, fee amounts and paid by.
     Correct number of months escrow collected and aggregate adjustment amount is correct
     Payoff of current mortgage lien matches last assignee on the title commitment
 FINAL TRUTH IN LENDING
     Signed and dated by Borrowers at closing
     APR fees included in finance charge agree with APR fees charged on HUD-1
     MI premium disclosed correctly
 PRIVATE MORTGAGE INSURANCE
     Adequate coverage for loan type and LTV
     Premiums on commitment agree with HUD-1
     Loan amount and address match legal documents
     Transfer of servicing notification is in the file and endorsed to First Horizon
     HPA disclosure with amortization schedule (Fixed Rate)
 TITLE COMMITMENT
     Borrowers name matches legal documents
     Loan amount and legal description matches legal documents
     Title commitment has been signed and dated
     Tax information is included.
     All necessary endorsements have been ordered/obtained
     Exceptions have been addressed and cleared for final policy

Page 2 of 5                                                                                      03-30-2009 (effective April 20, 2009)
                                                                                           Closed Loan Purchase/Broker Drawn Documents
                                                                                                             Conventional Audit Checklist
     Wholesale-Closing in Brokers Name: The Title Commitment should reflect the proposed insured as the lender
    named on the closing documents, Its successors and/or assigns (ISAOA).
     Insured Closing Letter issued by a title insurance underwriter is in file; is signed and dated on or before closing date;
    and benefits the lender named on the closing documents and names the settlement agent or title company closing
    the loan.
 SURVEY
    Signed, sealed and dated by surveyor, if applicable
    For refinances, (if applicable) a copy of original survey plus signed affidavit by borrowers
    If survey is not new, confirmation that the old survey is acceptable to the title company (at title company's
    discretion).
    Address and legal description match legal documents.
    Easement reflected on survey match title commitment. No encroachments are noted
 HAZARD INSURANCE POLICY
     Property Address agrees with the legal documents
     Coverage amount should be determined as follows:
              1.   Compare the insurable value of improvements/structures (as established by the hazard insurer) to the principal balance
                   of the mortgage.
                        a. If the insurable value is less than the principal balance, the insurable value is the amount of required
                            coverage.
                        b. If the insurable value is greater than or equal to the principal balance, go to step 2.
              2.   Calculate 80% of the insurable value of the improvements/structures.
                        a. If the 80% result is less than or equal to the principal balance, the principal balance is the amount of required
                            coverage.
                        b. If the 80% result is greater than the principal balance, this 80% result is the amount of required coverage
    Effective date of policy must be on or before funding/disbursement date and for the term of one year or more.
    Refinance loans must have a minimum of 90-days remaining in force at the time of closing
    Endorsement request is present changing the mortgagee clause to MetLife Home Loans, a Division of MetLife Bank,
    N.A.
    Paid in full for 1 year- reflected on HUD-1 (if Purchase)-Non escrow account loans will require proof of a 1 year paid
    policy-Installments are NOT acceptable. BINDERS ARE NOT ACCEPTABLE UNLESS STATE LAWS ALLOWS
    Best Key Rating must be "B"+ IV or better, or a Demotech, Inc. rating of "A" or better
    Unless a higher maximum amount is required by state law, the maximum deductible is up to 5% of the face amount
    of the policy
 FLOOD INSURANCE POLICY
    Flood Certificate identified as life of loan
    Confirm that Lender ID 35055 and MLHL's loan number appear on the Flood Certificate
    Confirm property address is correct
    If property is in a Special Flood Hazard Area, confirm property is in a participating community
    Confirm flood insurance disclosure has been provided to borrower if property is in flood zone and properly executed
    Flood Insurance is present if required, with maximum coverage available (required if zone A, A1-A30, AE, AH, AO,
    AR, A99, V, VE, VO, V1-V30)
    Endorsement on flood policy request is present changing the mortgagee clause to MetLife Home Loans, a Division
    of MetLife Bank, N.A.
    Unless a higher maximum amount is required by state law, the maximum deductible is $5,000
 NOTICE OF RIGHT TO CANCEL
    Date of transaction is complete and agrees with closing date
    Date Rescission (Notice of Right to Cancel) expires is complete and correct (expires at midnight 3 business days
    after the latter of the execution of the closing documents, final TIL date, or date Notice of Right to Cancel received).
    Borrowers have signed and dated the "receipt" of Notice of Right to Cancel
    Borrowers have signed and dated confirmation section (if applicable to form)
    Separate document for each borrower
 SALES CONTRACT
     Fully executed
     The name(s) of the borrower(s) and seller(s) are correct.
Page 3 of 5                                                                                                 03-30-2009 (effective April 20, 2009)
                                                                                                Closed Loan Purchase/Broker Drawn Documents
                                                                                                                  Conventional Audit Checklist
     The property address is the same as the address on the survey and appraisal.
     All changes to the sales contract have been initialed by the borrower and seller
 APPRAISAL
     Property address is correct
     Client is MetLife Home Loans
     Value is included
     Signed by appraiser
     Signed final inspection with photos, as required
     Copy of appraiser’s license included, if applicable
     Appraisal Transmittal included in file evidencing appraisal provided no less than 3 days prior to loan closing, unless
      waived
     HVCC Appraisal Report Delivery Waiver included in file and fully executed, if applicable
     Authorization to Charge Credit/Debit Card executed and in file

 POWER OF ATTORNEY
    The Power of Attorney states that the Attorney-in-Fact has no financial interest in the transaction (i.e. real estate
    agent, broker)
    (The attorney-in-fact is a person the borrower has selected to execute the documents as attorney-in-fact on behalf of the borrower.)
    The Power of Attorney is revocable (i.e. rescindable) in writing or gives a specific expiration date which survives the
    closing date
    The Power of Attorney irrevocable on the physical or mental disability of the principal (i.e. borrower)
    The closing agent approved the Power of Attorney and ensured the lien position without exception to the Power of
    Attorney
    The Power of Attorney states the purpose of the transaction (i.e., right to purchase or refinance real property)
    The Power of Attorney specific as to the property and complies with state law and allows for the Mortgage Note to
    be enforced in the jurisdiction
    The Power of Attorney has been notarized and includes a notary acknowledgment
    The signature lines on the closing documents are prepared correctly and the attorney-in-fact has signed correctly.

 TRUST
    The borrower or borrowers must be creator(s) of the trust. The creators of the trust are usually called the Grantor,
    Settlor or Trustor.
    The borrower(s) must be the trustee(s) of the trust (or there must be an approved institutional trustee).
    The trust must be revocable.
    The borrower(s) must be the primary beneficiaries of the trust.
    The trustee(s) must have the authority to borrow money and pledge the trust property as security
    The Trust Agreement has been approved by MLHL National Underwriting Risk Management Department.
    The borrower’s name on closing documents appears exactly as the name appears in the Trust documents.

 LEASEHOLD
     The leasehold agreement has been approved MLHL National Underwriting Risk Management Department.
 GENERAL DOCUMENTS
     1003 - Handwritten
     1003 - Final (executed by all borrowers)
     Bailee Agreement/Letter (address on collateral package delivery label must match address of warehouse lender)
     Copy of valid, legible, photo ID for each borrower
     Conditions documentation
     ECOA
     Escrow Disclosure Statement / Waiver
     Good Faith Estimate
     Goodbye and Hello Letter(s)
     IRS 4506T
     Lock confirmation – rate, term and expiration date match Note, Underwriting Approval and TMO
Page 4 of 5                                                                                                        03-30-2009 (effective April 20, 2009)
                                                                          Closed Loan Purchase/Broker Drawn Documents
                                                                                            Conventional Audit Checklist
     Name affidavits
     Notice of Assignment, Sale or Transfer of Servicing Rights in file
     Notice of sale to borrower
     Occupancy affidavit
     Pest Inspection, if applicable
     Program disclosure(s) (signed), as required
     State Specific disclosures, if applicable
     Tax information sheet
     W-9, one for each borrower
     Warranty Deed (copy)




Page 5 of 5                                                                              03-30-2009 (effective April 20, 2009)

								
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