Brief Summary of Faith Based “Partnership” Financing

The faith based home financing program offered by UIF Corporation “UIF” (A subsidiary of University Bank of Ann Arbor, Michigan) is a Partnership Program whereby a Buyer enters into a standard contract to purchase a residential property with a Seller.  UIF and the Buyer enter into a Declining Balance Agreement and Security Instrument (Mortgage or Deed of Trust) at closing rather than traditional lending documents.

This program is largely between the Buyer and UIF and doesn’t require any special involvement by the Seller except in some cases where the Seller may need to sign an Amendment to Purchase Agreement at closing acknowledging that the Buyer will be using UIF’s Partnership program.  The Buyer will hold registered title, UIF and the Buyer will be insured under standard Lender’s and Owner’s insurance policies.

In the case of a refinance, UIF and customer are entering into a partnership via a Declining Balance Agreement, which is again secured by a Security Instrument (Mortgage or Deed of Trust) and UIF would be insured under a standard Lender’s Policy.

Specific Details for Purchase Transactions:

  • Only in some cases the Buyer and Seller will be required to sign a short Amendment to Purchase Agreement at closing as mentioned above.  (Note: if this document is not included with the closing package it is NOT required)
  • Seller deeds to Buyer
  • Buyer executes a Declining Balance Agreement, Security Instrument, and Payment Agreement (in addition to other traditional mortgage closing documents) with UIF
  • Standard Lender’s and Owner’s Policies are applicable

Specific Details of Refinance Transactions:

  • Customer executes a Declining Balance Agreement, Security Instrument, and Payment Agreement (in addition to other traditional mortgage closing documents) with UIF
  • Standard Lender’s Policy is applicable

UIF Contacts:

 Documents to be Recorded:

  • Mortgage or Deed of Trust
    • Any applicable riders
  • Warranty Deed / Quit Claim Deed (if applicable)
    • Purchase Transactions
      • Seller to Buyer
  • ALL RECORDED DOCUMENTS SHOULD BE RETURNED TO UIF Corporation
  • Please attached Exibit A legal descriptions where required.

Corporate Documents:

  1. UIF – Authorization to sign mortgage documents
  2. UIF – Certificate of Good Standing & Articles of Incorporation

Sample Closing Documents:

  1. Amendment to Purchase Agreement (only applicable to some Purchase transactions)

Instructions on viewing PDF Documents

The forms on this website are in Adobe’s Portable Document Format (PDF).