Frequently Asked Questions

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If you have questions about applying for a commercial loan or any other matter relating to ECD's mortgage lending program, our frequently asked questions may provide answers for you.

If you still have questions that you don't have the answer to contact us, or your nearest loan officer and we will be happy to provide you with whatever information you need.

What kind of mortgages does ECD purchase? . Owner occupied, single-family residences . Low/Moderate income buyers (contact ECD for current income requirements) . Total debt to income ratios of up to 43%. . Relaxed credit standards . Up to 100% loan to value
How does ECD purchase the loans? Loans are closed by the local lender according to ECDs guidelines. ECD will immediately purchase qualifying loans on a flow basis. Loans are purchased without recourse. ECD will own and be fully responsible for each qualified loan that is purchased from the originator. A Loan Purchase Agreement will be negotiated between ECD and the loan originator detailing the responsibilities of each party before loans will be purchased.
What fees can a lender charge and keep? Those fees may include a loan origination fee of 1%, document preparation fee of $250, and other reasonable fees associated with originating the loans.
What other fees should be expected with each loan? Attorney fees, appraisal fees, surveyor fees, ECD Loan Review Fees, and homebuyer counseling fees are commonly charged for mortgage loans.
Who services the loans? Loans will be sold servicing released unless other arrangements are made with the originator. ECD will provide servicing for the loans through a national loan servicer. Once the loan is sold, ECD will have the full responsibility of collecting payments from the borrower.
How can we participate? Contact our mortgage department by phone at (601) 944-1100 or toll-free at 1-800-843-3358 for more information. You may also send an email to mortgageloans@ecd.org

What kind of mortgages does ECD purchase?

. Owner occupied, single-family residences . Low/Moderate income buyers (contact ECD for current income requirements) . Total debt to income ratios of up to 43%. . Relaxed credit standards . Up to 100% loan to value

How does ECD purchase the loans?

Loans are closed by the local lender according to ECDs guidelines. ECD will immediately purchase qualifying loans on a flow basis. Loans are purchased without recourse. ECD will own and be fully responsible for each qualified loan that is purchased from the originator. A Loan Purchase Agreement will be negotiated between ECD and the loan originator detailing the responsibilities of each party before loans will be purchased.

What fees can a lender charge and keep?

Those fees may include a loan origination fee of 1%, document preparation fee of $250, and other reasonable fees associated with originating the loans.

What other fees should be expected with each loan?

Attorney fees, appraisal fees, surveyor fees, ECD Loan Review Fees, and homebuyer counseling fees are commonly charged for mortgage loans.

Who services the loans?

Loans will be sold servicing released unless other arrangements are made with the originator. ECD will provide servicing for the loans through a national loan servicer. Once the loan is sold, ECD will have the full responsibility of collecting payments from the borrower.

How can we participate?

Contact our mortgage department by phone at (601) 944-1100 or toll-free at 1-800-843-3358 for more information. You may also send an email to mortgageloans@ecd.org