NJ FNMA Balloon Mortgage Endorsement Guideline 5-31
Explanation:Provides the lender with insurance as to the validity, enforceability and priority of the insured lien when the Conditional Right to Refinance is exercised at some point in the future.
Underwriting Requirements:There must be a "Balloon Rider" attached to the deed of trust or mortgage that discloses the balloon payment feature and the conditional right to refinance the debt.
The underwriting guidelines contained herein have been provided for general reference. The facts, circumstances, and location of the subject property should be considered when determining the issuance of the requested form or endorsement. Please note that all of the forms and endorsements included in this system may not be available in all states. Accordingly, please contact the appropriate Stewart Title Guaranty Company underwriting personnel in order to determine availability.
Compliance with the underwriting guidelines contained herein in no way obligates Stewart Title Guaranty Company to issue any form or endorsement.
This guideline applies to the following form(s):