Fannie Mae issued Selling Guide Announcement SEL-2024-03 (Announcement), setting forth updates to the Selling Guide. Per the Announcement, Fannie Mae:
- Implemented new requirements related to reconsideration of value (ROV);
- With respect to manufactured housing loans, clarified that an Affidavit of Affixture is only required when the loan is delivered with a personal property title and the borrower’s intent is to convert to real property;
- Expanded the shared equity policy with respect to manufactured housing in community land trust properties to allow 1-unit single-width, multi-width, and MH Advantage manufactured homes subject to a community land trust that are not located in a condo or PUD project;
- Removed the exclusion that co-op share loans cannot be registered with Mortgage Electronic Registration Systems;
- Revised requirements for submitting the annual audited financial statement, the Authorization for Verification of Credit and Business References (Form 1001), and the Lender Record Information (Form 582);
- Clarified policy regarding trust income requirements;
- Clarified that Section 8 payments are nontaxable and the lender should develop an adjusted gross income for the borrower using the monthly payment from the public agency; and
- Updated Exhibit 4A (Single-Family Uniform Instruments) to incorporate the state-specific 30-day Average SOFR Notes and Rider and reflect that Fannie Mae and Freddie Mac have published state-specific versions of the following instruments:
- Multistate Adjustable Rate Note-30-day Average SOFR (Form 3441);
- Multistate Fixed/Adjustable Rate Note-30-day Average SOFR (Form 3442);
- Multistate Adjustable Rate Rider–30-day Average SOFR (Form 3141); and
- Multistate Fixed/Adjustable Rate Rider–-30-day Average SOFR (Form 3142).
Revisions related to ROV policies are effective for loans with applications dated on or after August 29, 2024 (lenders are, however, encouraged to implement these changes immediately). All other revisions are effective May 1, 2024.
Click to view the Fannie Mae Selling Guide Annoucement SEL-2024-03: https://www.tenaco.com/wp-content/uploads/2024/05/Fannie-Mae-Selling-Guide-Announcement-SEL-2024-03-05-01-24.pdf
