VA revised Chapter 7, (Topic 7) of the Lender’s Handbook (M26-7). VA made the following changes:
- Modified subsection b. to clarify when a temporary buydown may be used and how escrowed funds are to be held;
- Revised subsection c. to address the buydown payment schedules;
- Updated subsection d. to clarify how to underwrite loans involving a temporary buydown; and
- Added subsection e. to include information on when a temporary buydown is considered a seller concession.
The revisions went into effect July 27, 2023.
Click to view the VA Pamphlet 26-7, Revised Change 38: https://www.tenaco.com/wp-content/uploads/2023/11/VA-Pamphlet-26-7-Revised-Change-38-07-27-23.pdf
Click to view the VA Pamphlet 26-7 (Lender’s Handbook) Revised Change 38: https://www.tenaco.com/wp-content/uploads/2023/11/VA-Pamphlet-26-7-Lenders-Handbook-Revised-Change-38-07-27-23.pdf
