I use Calyx Point software. I am doing a loan for my clients where the purchase price is 298,000. Now, they need mortgage insurance becuase its a 100% loan (government program). The mortgage insurance is .85% of the purchase price. Does the loan amount need to be 298,000 + .85% of the purchase price? I am confused because when I enter 298,000 in Calyx Point as a loan amount and then enter the mortgage insurance, it adds the cost to the purchase price. That of course throws off my GFE. Does anyone have experience with this? Thanks for your help

$298,000 x 1.5%= $4,470 (UPMI) Usually Financed in to the loan.
$298,000 x .85= $2,553
$2,553 / 12= $211.08

Go to page 2 of the loan application, click on the Mortgage Insurance tab, type in .85 (make sure loan amount is reflected in the dropdown), should reflect $211.08. NOW, go to the Good Faith, line item 1002 enter 2 months reserves. Below 1005 there is an empty box. Type in UPMI, 12 months reserves @ $372.50. This will give you $4,470.

thanks...i need to get used to this software!

You're welcome. What were you using before? Byte? I've used them all...pretty much. I love Ellie Mae's Encompass. It blows Point out of the water.

im new to lending, so i wasnt using anything before. Ill have to check out encompass

www.elliemae.com , on the right hand side you will see "watch Encompass Demo". You will see why I love it.