FAQ Content
Yes. General requirements for escrows are:
- Repairs that affect livability or safety must be completed and inspected prior to loan closing.
- Delegated and Correspondent lender's DE Underwriter makes the determination if escrows should be allowed.
- TPO lenders must email khcuw@kyhousing.org for approval of escrowing of repairs or incomplete items.
- KHC will hold funds for TPO lenders, but Delegated and Correspondent lenders are responsible for holding escrow funds.
- Weather related escrows – expiration dates are as follows:
- November – April: Due by May 31
- May – October: Due 30 days after closing.
- If HUD REO, the repair escrow should be listed in the purchase contract.
- Otherwise, KHC will need a contract addendum identifying who is responsible for the cost of repairs.