Coronavirus era lending standards

This thread will be about confirmed lending guideline changes pushed out by wholesalers and banks due to impacts from the COVID-19 Pandemic and Stay At Home orders.

I do not intend to say "Broker ABC says this" or "Bank of such and such says this" as individual lenders guidelines still vary widely depending on a number of mitigating factors. I'll list what I've read directly from various lenders and will be labeled as either W (Wholesaler) or B (Bank). If you work at a mortgage lender and have other guideline updates, please post what you can in a similar format.


As of 4/15/2020

W - First Time Home Buyer - No Escrow Waivers for FTHB, no matter the LTV
W-  No use of MCC's, no matter the LTV
W - 680 FICO = DTI no higher than 40%, no matter the LTV
W - Forbearance - All loans must be brought current before closing, confirmed by servicer
W - Employment Status - Must be confirmed borrower is on the job prior to closing.
B -  Written Verification of Employment required on all transactions.
W - Rental Income - 6 months PITIHOA for each property (was 2 months in some cases)
W - Rental / 2nd Home - Requires 6 months PITIHOA (was 2 months in some cases)
W - Self Employment - If personal reserves are less than 6 months, calculated SE income reduced 25%
B -  Self Employment - Business must be open within 10 days of Note date, verified w/current receipts.
B -  Self Employment - 30 day transaction history from business banking required prior to closing.
W + B - Asset Documentation - Must be most recent within 30 days (was 60 days)
B -  Asset Documentation - Quarterly statements from 3/31/2020 must be provided.
W - Credit report - must be no more than 30 days old at time of submission (was 60 days)
W + B 4506-T. Not required to be processed. Must be signed at application or closing.

Couple of updates:

W+B - Freddie Mac owned loans in forbearance will not be required to make a lump sum catch up payment once the forbearance is over.

W - TCF Bank is limiting their purchase HELOC's to 85% CLTV, and eliminating stand alone HELOC's. Drive by appraisals are no longer allowed by TCF Bank.

What's interesting to me about TCF is that they lead the way in high LTV financing 2008 forward. That was a bold move on their part and were rewarded handsomely This go-round, with value velocity unclear, they are stepping back from risk, albeit by baby steps compared to others.

My .02c