How to Create a Piggyback Second Mortgage File in SpherLOS

Set up Loan  and Property Information

1. Go to Loan and Property > Loan Information.
2. Double-click any field to open the Edit Mode, then enter the following:

• • Loan Purpose – select Cash-out Refinance to ensure primary and second-lien payments show correctly in the system and on the URLA, even though this is a purchase.

  • Appraisal Value – Enter the property’s appraised value.

  • Loan Amount – Enter the loan amount.

  • Loan Type – Select the correct Loan Type. This determines which programs are available—check with your Company System Admin if unsure.

  • Program – Choose the program

  • Note Rate – Enter the interest rate.

  • Other Financing – click the Edit Pencil and fill in the loan amount and full terms of the primary mortgage, click Save when finished.

  • Additional Data – Click the arrow to expand the section, then set the lien Position Type to Second Lien.

  • Subject Property Information: ensure at least City, State, and ZIP Code are entered.

  •  Click Save when finished.

Complete the Borrowers and Financials (REO &Liabilities)

1. Borrowers – Address: Enter the borrower’s current residency information.
2. Borrowers – Declarations – In the Borrowers section, go to Declarations and make sure A. Will you occupy the property as your primary residence? is entered correctly. Click Edit if changes are needed.
3. Financials – REO: click the Edit pencil to enter the current address and any other REO properties.
4. Check the Subject property and Current residence boxes as appropriate.
5. Liabilities: Click the Edit Pencil and click Add New Liability to enter the primary mortgage information.
6. Link the property to the correct REO,
7. Mark it as Resubordinated—even though it’s not actually subordinated to the second lien. (This ensures the primary mortgage expense populates correctly in the Proposed Housing Expenses.)
8. Click Save when finished.

Review and Quick Troubleshooting

Verify on Loan Information

• Go to Loan and Property-Loan Information-Proposed Housing Expense.
• Confirm the primary mortgage appears under First Mortgage (P&I).
• Check Subordinated Lien (P&I) — the second-lien payment should display here.

Preview the URLA form

• Click Actions>Other Actions>Print Forms → Preview.
• In the Name / Number field, search for the lender’s URLA form.
• Select it and click Preview Document to review.

Quick Troubleshooting

• Second-lien payment missing?
  • In Loan Information or Loan Additional, make sure Second Lien is selected.
  • Confirm the Liability is linked to the REO subject property and that Resubordinate is checked for the first mortgage.
• Ratios look off?
  • Verify the Appraisal Value, Loan Amounts, and Resubordinate check for the first lien under Liabilities.
• Program not showing?
  • Check the Loan Type — it determines program availability. If unsure or if a program is missing, check with your System Admin.
• URLA fields blank?
  • Confirm Occupancy Type, Subject Property address (City/State/ZIP), and lien position settings in Loan Additional are correct.