Fannie Mae removed the underwriting changes announced on December 4, 2019, that required the use of estimated property taxes for the establishment of … If you have additional questions, Fannie Mae customers can visit Ask Poli to get We communicated then that all LIBOR ARMs must be purchased as whole loans on or before December 31, or included in MBS pools with issue dates on or before December 1, 2020. Execution, Learning Clarified accessory dwelling unit property eligibility requirements and updated comparable sales requirements … The lender must continue to verify that the borrower has sufficient assets from the list of eligible sources contained in our Guide. be at least 12 feet wide and have a minimum of 400 sq. Servicing Guide ... lender letters, notices and more. In Selling Guide Announcement SEL-2020-02 Fannie Mae provides details about SOFR ARM products and advises that it will begin accepting Single-Family SOFR ARMS on August 3, 2020. We have clarified that pro-rated real estate tax credits provided by the seller at closing in places where real estate taxes are paid in arrears cannot be considered when determining if the borrower has enough funds for the transaction. 12/22/2020 : Notification 20-18: Form 4637 : 01/05/2021 : Notification 20-17 Multifamily Underwriting Standards (Form 4660) 12/14/2020 : Guide Update 20-12: Solar Photovoltaic Systems : 12/14/2020 : Guide Update 20-10: Multifamily MBS with REMIC Election : 01/01/2021 Delivery Requirements If the appraiser is unable to find a comparable closed sale of another single-width property, an additional comparable “under contract” sale or active listing may be used. information from other Fannie Mae published sources. Fannie Mae Selling Guide Updates – SEL-2020-07 – Dated December 16, 2020 Written by: Lloyd Rutherford, Staff Writer Selling guide updates are always an important read! In some topics, there are references to both the current and redesigned Forms. LIBOR references: In February of this year we announced the retirement of LIBOR ARMs with the release of LL-2020-01. minimum quality control (QC) requirements and includes highly suggested QC best practices. As part of our efforts to improve certainty for lenders, we have updated our documentation requirements for the sale of personal assets to reflect the following: As a reminder, proceeds from the sale of personal assets are an acceptable source of funds for the down payment, closing costs, and reserves provided the individual purchasing the asset(s) is not a party to the mortgage transaction. November 13, 2020. Customers Recommend Ask Poli AskPoli. Retirement, government annuity, and pension income and employment-related assets as income: IRS Form 4506-C, IVES Request for Transcript of Tax Return: A4-1-01, Maintaining Seller/Servicer Eligibility, B7-3-02, General Property Insurance Coverage, B7-2-05, Title Exceptions and Impediments, How to do a hard refresh in Internet Explorer. The Selling Guide has been updated to include changes to the following: With this update, we are expanding our property eligibility criteria to allow for the sale of loans secured by single-width manufactured home loans that meet all the following property eligibility requirements. At the direction of the Federal Housing Finance Agency and in collaboration with Freddie Mac, we are modifying our seller/servicer eligibility standards related to minimum liquidity. Visit Selling and Servicing Guide Communications and Forms. As stated in Selling Guide A4-1-01, Maintaining Seller/Servicer Eligibility, the minimum liquidity requirement is equal to 0.035% of the unpaid principal balance (UPB) of mortgage loans serviced by a non-depository seller/servicer for Fannie Mae, Freddie Mac, and Ginnie Mae if the Agency SDQ rate is 6% or less. ), Retirement, government annuity, and pension income and employment-related assets as income Fannie Mae (Selling Notice – HomeReady Income Limits 2020) and Freddie Mac (Bul letin 2020-26)have now indicated their own instructions for when to begin using HUD’s 2020 tables for Area Median Income (AMI) calculations (rather than the 2019 tables which have been in … Visit Selling and Servicing Guide Communications and Forms. This part describes the requirements associated with the two primary ways lenders transact business with Fannie Mae: selling whole loans for cash and pooling loans into Fannie Mae mortgage-backed securities (MBS), which includes Uniform Mortgage-Backed Securities (UMBS). IRS Form 4506-C has been created for authorized IVES participants to order tax transcripts with the consent of the taxpayer. Since we are unable to approve any waivers pre-closing, we are removing this reference. ; Uniform Instruments Freddie Mac and Fannie Mae/Freddie Mac Notes, Riders, Security Instruments, and other documents. Ask Poli features exclusive Q&As and more—plus official Selling & Servicing Guide content. Lender Letter LL-2021-03 – Impact Covid-19 Originations, Lender Letter LL-2021-04 – Impact Covid-19 Appraisals, Lender Letter LL-2021-01 Appraisal Risk Management Policy Reminders and Resources, Announcement SEL-2020-01 – Selling Guide Updates. A new DU user interface will also be available on fanniemae.com. Lenders should confirm with their preferred mortgage insurance provider(s) that coverage is available on loans secured by single-width manufactured homes. Benchmark CPR Commentary – October October 14, 2020. ft. of gross living area, Single-width manufactured homes are eligible for principal residence purchase and limited cash-out refinance transactions but are not eligible for cash-out refinance transactions or as second homes (or investment properties). Ask Poli. Due to the nature of title exceptions, we typically cannot grant them because they are requested prior to closing. However, for topics with minor updates, the topic dates remain unchanged. Part D, Providing Solutions to a Borrower. The Eligibility Matrix has been updated to reflect this change. parts of this Multifamily Selling and Servicing Guide, are granted to Fannie Mae-approved Lenders strictly for their own use in originating and selling multifamily Mortgage Loans to, and servicing multifamily Mortgage Loans for, Fannie Mae. A hard refresh will clear the browsers cache for a specific page and force the most recent We have incorporated the disaster payment deferral workout option introduced on Jul. We recommend that you use the latest version of FireFox or Chrome. Fannie Mae will begin accepting SOFR ARM products on August 3, 2020, and will continue to update the Selling Guide. Effective: Non-depository seller/servicers must be compliant with the updated requirements based on financials reported as of March 31, 2021. limiting the requirement to obtain an independent valuation of the asset to only those cases where the proceeds from the sale exceed 50% of the total monthly income used in qualifying. For best results, pose your search like a question. If you still have Technical Support questions, Fannie Mae issued Selling Guide Announcement SEL-2020-07 (Announcement), setting forth updates to the Selling Guide. Announcement SEL-2020-06 – Selling Guide Updates. We are implementing the changes indicated below beginning with the financial quarter ending Jun. At the direction of the Federal Housing Finance Agency and in collaboration with Freddie Mac, we are modifying our seller/servicer eligibility standards related to minimum liquidity. 15, 2020 in LL-2020-11, and subsequently updated on Aug. 27, 2020, into the Servicing Guide. Dec. 16, 2020. Launch If you have additional questions, Fannie Mae customers can visit Ask Poli to get We have retained some information that is on the current Form 1003 but no longer in the redesigned Form 1003. Grants are considered donations from others and no longer referred to as gifts. The Selling Guide A4-1-01, Maintaining Seller/Servicer Eligibility, has been updated to reflect this change. The requirement for typhoon insurance for Guam properties will remain and is now noted in Selling Guide B7-3-02, General Property Insurance Coverage. ManufacturedHomeWidthType (Sort ID 33): SingleWide, Effective: Loans secured by single-width manufactured homes can be delivered to us beginning February 1, 2021. ... lender letters, notices and more. The requirement for typhoon insurance for Guam properties will remain and is now noted in. Customers Recommend Ask Poli AskPoli. To account for changes in the location of data between the current and redesigned forms, where possible, we have removed references to specific Form 1003 section numbers and field names. Selling Guide. Note: As a reminder, on March 1, 2021, all lenders are required to use the redesigned Form 1003 (and the MISMO v3.4 format for DU loan casefiles) for new loan applications. For a comprehensive list of resources such as forms, announcements, lender letters, If the Agency SDQ rate is above 6%, the seller/servicer … In connection with this incorporation, we have also added references to payment deferral throughout the Guide … All other updates are effective immediately. We have updated the Selling Guide to reflect changes that are necessary as a result of the redesigned Form. The term “online loan application” refers to the DU user interface (or the lender’s loan origination system) where data is collected that is not on the Form 1003. 30, 2020. Fannie Mae issued a release reviewing all Servicing Guide updates, all Selling Guide updates and Lender Letters from last year. & Technology, News & Effective: Lenders may take advantage of these policy changes immediately. Updated the Selling Guide to implement the flexibilities for the use of remote online notarization introduced in … feel free to email. Customers Recommend Ask Poli AskPoli. notices and more. Rule Synopsis: Fannie Mae is updating their selling guide for a variety of topics. MPF Xtra Selling Guide Updates . PennyMac is aligning with Fannie Mae’s most recent Selling Guide updates in SEL-2020-01, Lender Letter 2020-01, and Freddie Mac’s Bulletin 2020-01, with the exception of all updates to cooperative projects and manufactured homes. Part A, Doing Business with Fannie Mae. Effective Date: Immediately (unless otherwise noted) On October 7, 2020 Fannie Mae issued Selling Guide Announcement SEL-2020-06 which covered the below referenced topics that are applicable to loans sold under the MPF Xtra product:. Bulletins & Industry Letters Updates to, reminders, and restatements of the Single-Family Seller/Servicer Guide requirements. Get answers to your policy and guide questions, straight from the source. We updated our requirements related to the use of retirement, government annuity, and pension income. Part E, Default-Related Legal Services, Bankruptcy, Foreclos. be legally classified as real property and cannot include an accessory dwelling unit (ADU). The terms “loan application” and “Form 1003” generally mean the same thing. To further support our commitment to affordable housing, we have simplified our policy for community land trust eligibility with regard to the community land trust’s experience, staff, and annual reports. Self-Assessment. removed the requirement to reduce the value of retirement assets consisting of stocks, bonds, and mutual funds by 30% when measuring the three-year continuance for retirement income, and for calculating net documented assets when employment-related assets are used as income. Servicing Guide ... lender letters, notices and more. If you have additional questions, Fannie Mae customers can visit Ask Poli to get information from other Fannie Mae published sources. Based on information we have seen from the IRS Income Verification Express Service (IVES) program, IRS Forms 4506-T and 4506T-EZ are being phased out for use by third parties in early 2021. Benchmark CPR Commentary – September September 11, 2020. MPF Xtra Selling Guide Updates. Single-width manufactured homes are eligible for principal residence purchase and limited cash-out refinance transactions but are not eligible for cash-out refinance transactions or as second homes (or investment properties). The December Selling Guide update expands eligibility to allow the sale of loans secured by single-width manufactured homes; updates requirements related to the use of retirement, government annuity, and pension income; modifies our seller/servicer eligibility standards related to minimum liquidity; updates our sale of personal assets documentation requirements; simplifies our eligibility requirements … COVID-19 UPDATE: Find out how Fannie Mae is responding. Note that DU is not able to identify this property type so lenders must apply these requirements manually. Refer to the Servicing Announcement for additional information. Specifically, we. With this update that provides clearly defined guidelines, we are removing the prior policy that allowed for alternative documentation if the proceeds from the sale represented a minor percentage of the borrower’s overall financial contribution. Updates relating to electronic documentation are effective October 14, 2020. If you have additional questions, Fannie Mae customers can visit Ask Poli to get information from other Fannie Mae published sources. Published December 9, 2020. Fannie Mae may revoke this limited Effective Date: Immediately (unless otherwise noted) On September 2, 2020 Fannie Mae issued Selling Guide Announcement SEL-2020-05 which covered the below referenced topics that are applicable to loans sold under the MPF Xtra product:. This form must be used to request a tax transcript beginning March 1, 2021. 2020 Fannie Mae Published anuary 2020 1 Quality Control . Selling Guide. Updates the foreclosure milestone schedule and eliminates prorated fee requirements. Given the impact to reverifications required for loans selected for QC, we encourage lenders to begin using IRS Form 4506-C immediately. The following data elements must also be included in Loan Delivery: ConstructionMethodType (Sort ID 51): Manufactured For a detailed list of the Guide updates associated with this Bulletin and the topics with which they correspond, access the Bulletin 2020-48 (Selling) Guide Updates Spreadsheet via the Download drop-down available at https://guide.freddiemac.com/app/guide/bulletin/2020-48.