Page 249
The lender’s permanent loan file must contain the following information to support the single close transaction, in addition to documentation outlined in this Handbook:
x Sufficient documentation to validate the actual cost to construct the subject home
Page 250
(for example, purchase contracts with the builder, Construction Loan Agreement, plans and specifications, receipts, invoices, lien waivers, etc.);
x All closing disclosures and closing documents executed by all parties to the
transaction and evidencing all costs to the homebuyer and property seller at the time of loan closing; x A final title insurance policy endorsement ensuring the lender remains in a first
lien position and that no junior liens exist against the property;
x All canceled checks, paid receipts, draw requests, lien waivers, change orders,
title endorsements, etc. for all property-related requirements for new construction; x The appraiser’s certificate of completion and a photograph of the completed
property; and x All third-party inspections and warranties as defined in this Chapter.