Feature Enhancements in Version 21.1 (Broker Edition)

This section discusses the updates and enhancements to existing forms, features, services, or settings that are provided in this release.

URLA Updates

For loans using the new URLA Forms, an update has been made to the calculation for Total of Other Assets Applied to the Loan (field ID URLA.X151) on the 1003 URLA – Lender input form to conform with the method adopted by Fannie Mae and Freddie Mac for updating the cash to close amount with other assets tagged as credits.

The Total of Other Assets Applied to the Loan now includes amounts listed in section 2b. Other Assets You Have on the 1003 URLA Part 3 that have any of the following options selected for Asset Typed:

  • Earnest Money

  • Employer Assistance

  • Lot Equity

  • Relocation Funds

  • Rent Credit

  • Sweat Equity

  • Trade Equity

To support this calculation, the following new options have been added to the Other Assets dropdown list:

  • Lot Equity

  • Relocation Funds

This update changes the existing workflow in which these types of purchase credits are documented only in the Qualifying the Borrower table, since these credits are now covered in the calculation for Total of Other Assets Applied to the Loan. The Fannie Mae export functionality has also been updated to ensure that the Total of Other Assets Applied to the Loan does not duplicate the credit section of Other Assets.

Example:

If a borrower documents that they have Sweat Equity being applied to the loan in the Other Assets section of the 1003 URLA Part 3, this amount is now included in the Qualifying the Borrower section (previously Details of Transaction) on the 1003 URLA-Lender input form. The amount is included in the calculation for Total of Other Assets Applied to the Loan, which is part of the Total Credits. If the amount provided by the borrower is not approved to be applied to the loan file, the value in Other Assets must be modified to be correctly included in cash to close.

1003 URLA Part 3

1003 URLA - Lender

CBIZ-36223

The Temporary Buydown tool in Encompass Settings enables administrators and authorized users to create temporary buydown types (that contain specific rate percentages and terms (in months). Authorized loan team members can then select from a list of these buydown types from the RegZ-LE and RegZ-CD input forms and apply one to the loan they are working on. Starting in Encompass 21.1, loan team members can now also select a buydown type from the new Buydown Type field that is provided in the Buydown Mortgage section of the 1003 URLA -Lender input form. The Buydown Type field includes a lookup ability that users can utilize to select a Temporary Buydown type that is created using the Temporary Buydown setting.

To Apply a Buydown Type to a Loan:

  1. On the 1003 URLA – Lender form, select the Buydown checkbox in the Buydown Mortgage section.
  2. Select the Contributor to the buydown (the individual contributing payments to the buydown). A contributor must be selected prior to the Buydown Type field being enabled.
  3. Click the Lookup icon (magnifying glass).
  4. Select a buydown type from the list, and then click OK.

    • Default buydown types that are stored in the Temporary Buydown setting, including 3-2-1, 2-1, and 1-0 buydown types are available to select and apply to the loan here. These types may have been modified by the administrator. Additional buydown types created by the administrator will also be listed here.

    • The rate and term of the buydown is applied to the loan.

    • The Buydown Type, Rate and Term information will be cleared when the user updates the Contributor field (CASASRN.X141) from Borrower to a non-borrower Contributor option OR from a non-borrower to a Borrower contributed buydown.

    • The Buydown Type, Rate and Term information will not be cleared if the user updates the Contributor field (CASASRN.X141) from a non-borrower to a different non-borrower option.

NICE-25607

(Updated on 2/9/2021)

For loans using the new URLA forms, the calculation of Net Income/Loss (field ID FM0032) on the Verification of Mortgage (VOM) input form has been updated to enable underwriters to capture the correct net rental income on loans originated on the new URLA forms. The calculation now adjusts for the Net Rental Income for primary residences being retained and repurposed as rental properties based on the selection in the Property will used as checkbox (field ID FM0055) on the VOM input form. Previously the calculations for Net Income/Loss was based on the selection for Property is used as (field ID FM0041).

CBIZ-34610

For loans using the new URLA forms, the following updates have been made to the borrower and co-borrower current address fields on the Basic Info tab on the ATR/QM Management input form. These updates apply the address formatting used on many other address blocks on the new URLA forms:

  • New Unit Type fields have been added (field IDs FR0125 and FR0225)

  • New Unit Number fields have been added (field IDS FR0127 and FR0227)

  • The Street Address fields are now editable.

  • The foreign address functionality remains the same

CBIZ-34767

Encompass Forms and Tools

Updates have been made to the Loan Terms section on the Loan Estimate Page 1 and Closing Disclosure Page 1 to display the correct Balloon Payment and Maximum Interest Rate features for loans with terms less than 24 months but not equal to one year. Two dropdown fields have been added with options for Year and Month, one for the balloon payment due period (field ID LE1.X98) and one for the maximum payment interest rate period (field ID LE1.X99). These fields are dynamically generated in the Loan Terms section when appropriate and are populated by default with Month when the period is less than 24 years, but not equal to 1 year. They are populated with Year when the period is equal to a year.

Balloon Payment

Maximum Interest Payment

Additionally, the two new fields display when appropriate in the LE Snapshot and CD Snapshot records in the Disclosure Tracking tool.

Migration

When updating to the Encompass 21.1 Major release, no data migration is applied to existing loans.

CBIZ-28529

A new State-Specific Disclosure Information input form is now available for subject properties in the state of Arkansas to enable a Lender providing a notice of servicing transfer to enter an explanation of the payment calculation as required by AR Admin. Code 214.00.13-001 Rule 5010-1(c). The form includes a Notice of Servicing Transfer section with a free-entry text box (field ID DISCLOSURE.X1215) where the lender can enter the method of payment calculation.

CBIZ-30157

The State-Specific Disclosure Information input form for subject properties in the state of Washington has been updated to capture the name of the entity providing the rate lock guarantee as required by RCW 19.146.030(2)(c) and WAC 208-620-510(3). A new free-entry text box (field ID DISCLOSURE.X1216) has been added to the right of the Guaranteed checkbox (field ID DISCLOSURE.X687) to enable lenders to enter the name of the guarantor.

CBIZ-30956

To enable lenders to overwrite the monthly principal and interest calculation for HFA loans with $0.00 payments, a 0.000% note rate, and a final payment, Lock icons have been added to the Monthly Principal & Interest fields for monthly loans (field ID 4085) and biweekly loans (field ID HUD51) in the Loan Terms section on the Loan Estimate Page 1 and Closing Disclosure Page 1. Previously, Encompass was not populating the $0.00 payment on the projected payments table or the loan terms table when an HFA loan was customized as described above. Users can now click the Lock icons to manually enter the amounts in these fields.

CBIZ-33640

A new read-only Workflow ID field (field ID 4685) has been added to the Source section on the Borrower Summary – Origination and the Borrower Summary – Processing input forms to capture the workflow ID sent with a loan file submitted from an Encompass Consumer Connect website.

The Workflow ID field is also available in the Encompass Reporting database and can be added to custom input forms and reports. For additional information about the workflow ID feature, refer to the Encompass Consumer Connect release notes for the Encompass 21.1 Major Release when they are available.

CBIZ-28552

When you are ready to publish custom input forms to an Encompass instance, the Encompass Input Form Builder user utilizes the Package Publishing Wizard to essentially export a form package from one Encompass instance and then import it into another instance. To publish a package from one system to another, the user must have the ability to log into both instances from the computer on which the Input Form Builder is running. Starting in Encompass 21.1, the new Web-based Encompass Log In screen (introduced in Encompass 20.2) is provided for the user to log into the source Encompass instance (where the custom forms are located) and then log into the instance where you want to import the forms.

NICE-33539

Electronic Document Management

With the Encompass 21.1 Major Release, the updates described below have been made to the new cloud-based version of the document viewer that was made available to Encompass users on request starting with the Encompass 20.1 release. If your company is using the new document viewer, it will display in the Encompass eFolder. File attachments that use the new viewer display a document image with a green globe . For information about requesting the new document viewer, refer to the How to Install the New Document Viewer on Your Instance of Encompass knowledge article in the Resource Center.

Ability to Edit Pages in a Document from the Thumbnail Panel

Users can now rotate, delete, and reorder pages in a document directly from the thumbnail panel instead of opening the Edit window first. Edits can be saved as soon as they are made by clicking the Save icon in the thumbnail panel rather than having to exist the eFolder and save the file.

Drag and Drop Updates

The following updates have been made to the drag and drop capabilities when dragging and dropping pages from the thumbnail panel:

  • Pages can be selected and dragged from the thumbnail panel into the Unassigned section of the viewer. The pages are deleted from their current file and moved into a new unassigned file.

  • Pages can be selected and dragged from the thumbnail panel and dropped on a document in the Documents section of the viewer. The pages are deleted from their current file and moved into a new file assigned to the document on which they were dropped.

  • Pages can be selected and dragged from the thumbnail panel and dropped on a file in the Unassigned or Documents section of the viewer. The pages are deleted from their current file and appended to the end of the file on which they were dropped.

Text Search Capabilities

Users can now press the Ctrl+F keys to search for text in a file that displays in the document viewer.

DOCP-16856

Reports

When creating or editing a report using the Reports tool, the Filters tab can be used to set up filters to apply to the report. The Use fields from the Reporting Database for better performance checkbox at the bottom of the screen is selected by default, indicating that the available filters will be selected from fields in your Reporting Database. Authorized users can clear this checkbox to make all fields available as filters and the reports will rely on field data in individual loan files instead. Since the loan files need to be opened in order to acquire the field data, the time it takes to run reports may increase.

In a future Encompass release, this checkbox will be selected by default and it will be disabled (grayed out) so that users will no longer have the option clear this checkbox. In this 21.1 release, a note announcing this planned update for this checkbox has been added to give users advanced warning of this upcoming change.

NICE-34094

Encompass Settings

The FHA County Limits for 2021, announced by HUD, have been incorporated into the Encompass FHA County Limits table in Encompass Settings. These changes are effective on January 1, 2021. When using this table, select the new HUD Web Site URL for 2021 to use the 2021 county limits for FHA loans. Existing loans that are updated after this option is selected for the table will be evaluated using the 2021 limits.

NICE-34122

On the External Company Setup > Company Details settings screens that administrators use to configure the settings for third party originators (TPOs), a new Generate LE & Disclosures option is now provided in the Organization section of the Basic Info tab. Use this dropdown field to select if you want to "Disable Fee Management" for the brokers at this company (this is the default selection), enable them to "Request LE & Disclosures", or enable them to “Generate LE & Disclosures”. Only one option can be selected for this field.

NICE-32391

Encompass Reporting Database

For lenders using Freddie Mac Loan Product Advisor (LPA), a new Freddie Mac Appraisal Hybrid field (field ID CASASRN.X205) has been added to the Encompass Reporting Database to enable Encompass to parse data from Freddie Mac LPA and record whether loans are eligible for an appraisal hybrid for lenders who want to take advantage of the hybrid program. This field is not visible on standard Encompass forms, but it can be added to custom input forms and reports.

CBIZ-35688

Miscellaneous Items

The Encompass ZIP Code database has been updated with the latest available ZIP Code data.

CBIZ-34223

Feature Enhancements for Version 21.1.0.1 (Broker Edition)

(Updated on 2/19/2021)

This update contains updates to users' Encompass client machines (21.1.0.1). The feature enhancements listed below are included in this update and were released on February 13, 2021. Visit the Fixed Issues for Version section to review the issues being addressed in this release.

This client-side update (21.1.0.1) can be controlled manually via the Encompass Version Manager tool. If the tool has been configured to always apply new releases to users’ computers automatically, users will receive this update upon their initial log in of Encompass following the release.

In Encompass, go to Help > About Encompass in the menu bar to view your Encompass version. When you apply the client-side update, your new version number will be 21.1.0.1.

Updates to the Encompass Client Machines

Form Enhancements

(Added on 2/9/2021)

On December 22, 2020 the Federal Housing Administration (FHA) published the Mortgagee Letter (ML) 2020-49, Revised Form HUD-92900-A, HUD Addendum to Uniform Residential Loan Application, which announced the availability of a revised and renewed version of the HUD-92900-A. Mortgagees may use the revised and renewed form immediately and are required to use it for case numbers assigned on or after March 22, 2021.

The new version of the HUD-92900-A now includes two separate sections to list the ID, name, and address for the Sponsor and for the Agent. To support this update, a new Check if entity is acting as Agent checkbox (field ID 4688) has been added between the Lender ID Code (section 13) and Sponsor ID Code (section 14) on the HUD 1003 Addendum input form.

When the checkbox is selected:

  • Information from section 14 on the HUD 1003 Addendum input form is populated to the Agent ID section of the output form.

  • Information from section 16 on the HUD 1003 Addendum input form is populated to the Name and Address of Agent section of the output form.

When the checkbox is cleared:

  • Information from section 14 on the HUD 1003 Addendum input form is populated to the Sponsor ID section of the output form.

  • Information from section 16 on the HUD 1003 Addendum input form is populated to the Name and Address of Sponsor section of the output form.

CBIZ-36834

(Added on 2/9/2021)

For loans using the new URLA forms, the following updates have been made to the Property Type section on the 1003 URLA-Lender input form:

  • Instructional text has been added below the Property Type label and above the checkboxes to let user know that they should select at least one of the Property Type checkboxes.

  • The Attachment Type field (field ID ULDD.X177) has been added to the 1003 URLA – Lender input form below the checkboxes to enable users to select Attached, Detached, and SemiDetached options for the attachment type.

The Attachment Type dropdown is an existing field that previously displayed only on the Fannie Mae and Freddie Mac tabs on the ULDD/PDD input form. The field was added to enable user to define the attachment type for the project directly on the 1003 URLA – Lender input form. The Attachment Type field is used in conjunction with the Project Type (field ID 1041) to populate data included in the Uniform Loan Delivery Dataset (ULDD) file.

If Attached or Detached is selected for the Property Type, the same value is populated by default in the Attachment Type dropdown list. This is a one-way copy from the Property Type field. A user can then change the Attachment Type without affecting the selection made for the Property type.

CBIZ-36949

(Added on 2/9/2021)

When importing a MISMO 3.4 loan file, the AttachmentType value from the MISMO file now maps to the Attachment Type dropdown list (field ID ULDD.X177) in Encompass. Previously, this value was mapping to the Property Type (field ID 1041). The Property Type (field ID 1041) is no longer exported or imported for MISMO 3.4 files.

When exporting ULAD data for Fannie Mae Desktop Underwriter (DU), the Attachment Type dropdown list is now mapped to the AttachmentType in the export.

CBIZ-37030

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