Fannie Mae issued Servicing Guide Announcement SVC-2024-07 (Announcement), setting forth updates to the Servicing Guide. Per the Announcement, Fannie Mae:
- Updated the Allowable Foreclosure Attorney Fees Exhibit (including increases to the maximum allowable foreclosure attorney fees in all jurisdictions and US territories, and updates to several footnotes);
- Updated the Allowable Bankruptcy Attorney Fees Exhibit to increase fees across all bankruptcy chapters, and add a post-discharge audit fee as a servicer paid fee;
- Increased the Mortgage Release document preparation expense reimbursement limit to $650 for a completed Mortgage Release;
- Clarified the transferee servicer’s responsibility for legal expenses incurred in connection with a servicing transfer (including attorney’s fees in pending foreclosure or bankruptcy matters); and
- Clarified that the servicer must compensate the law firm for the work performed but not completed with respect to a bankruptcy on a prorated basis.
In addition, FNMA updated the Reverse Mortgage Loan Servicing Manual to remove references to the retired File Transfer Portal in Fannie Mae’s servicing solutions system.
Revisions related to the updated Allowable Foreclosure Attorney Fees Exhibit and Allowable Bankruptcy Attorney Fees Exhibit must be implemented by April 1, 2025 (servicers are, however, encouraged to implement the revisions immediately). Note that, the new allowable fees apply to all matters referred to counsel for initiation of foreclosure and bankruptcy proceedings, regardless of referral date, if the matter is still active as of Jan. 1, 2025. Revisions related to Mortgage Release document preparation expense reimbursement limit apply to all Mortgage Release cases closed on and after Jan. 1, 2025. All other revisions are effective December 18, 2024.
Click to view the Fannie Mae Servicing Guide Announcement SVC-2024-07: https://www.tenaco.com/wp-content/uploads/2024/12/Fannie-Mae-Servicing-Guide-Announcement-SVC-2024-07-12-18-24.pdf
