Arc Home Correspondent ALERT – DACA for FHA and Transferred Appraisal Update


Arc Home is excited to announce the following lending updates, which are effective immediately.


FHA – Deferred Action for Childhood Arrivals

Effective for all new FHA Case Numbers, individuals classified under the Deferred Action for Childhood Arrivals (DACA) program will be eligible for FHA financing. Loans for DACA borrowers will be subject to all FHA guidelines and Arc Home overlays including, but not limited to:

  • The property must be the borrower’s principle residence;
  • The borrower must have a valid Social Security Number (SSN), unless employed by the World Bank, a foreign embassy, or equivalent employer identified by HUD;
  • The borrower is eligible to work in the U.S., as evidenced by an Employment Authorization Document issued by the USCIS; and
  • The borrower satisfies all the same requirements, terms, and conditions as those for U.S. citizens


Transferred Appraisal Update

The Non-Delegated Transferred Appraisal Policy is being updated to indicate that transferred appraisals are now permitted for multi-unit properties on both Conventional and Jumbo loans, subject to the following requirements:

  • A desk review is required unless the property has changed ownership within 24 months of the application date, in which case, a Field Review will be required;
  • Properties with frequent title changes or a significant increase in value since the last transfer must have sufficient commentary in the appraisal and/or field review to support the value increase;
  • The Arc Home Underwriter will have discretion upon receipt of the above documentation regarding whether to accept the transferred appraisal.


As a reminder, transferred appraisals are permitted for the Jumbo Prime and Jumbo Express programs with loan amounts up to $1.5MM.


Please contact your Arc Home Account Executive with any questions.