Freddie Mac issued Bulletin 2021-29 (Bulletin) announcing revisions to the Single-Family Seller/Servicer Guide. Per the Bulletin, Freddie Mac revised requirements with respect to:
- Home Possible mortgages (including an increase to the LTV and TLTV ratios for certain Home Possible mortgages);
- Mortgage eligibility and underwriting (including the retirement of A-minus and Affordable Merit Rate mortgages, and the addition of a new requirement that paystubs be dated within 30 days of the Application Received Date);
- Property eligibility and appraisals (including the eligibility of single-wide manufactured homes);
- Address confidentiality programs;
- Certificates of Incumbency; and
- Delivery requirements for fixed-rate mortgages sold through Cash-Released XChange.
Freddie Mac also added new Puerto Rico 30-day Average SOFR ARM Notes and Riders to the 2021 updated Uniform Instruments.
Revisions related to the increased LTV and TLTV ratios for Home Possible mortgages, and the eligibility of single-wide manufactured homes are effective for mortgages with settlement dates on and after November 15, 2021. Revisions related to the new requirement that be paystubs be dated within 30 days of the Application Received Date are effective for mortgages with settlement dates on and after December 1, 2021. Revisions related to address confidentiality programs are effective for mortgages with funding dates on and after December 1, 2021 (lenders may, however, implement the revisions immediately). Revisions related to the retirement of A-Minus and Affordable Merit Rate mortgages are effective for mortgages with settlement dates on and after January 1, 2022. All other revisions are effective immediately.
Click to view the Freddie Mac Bulletin 2021-29: https://www.tenaco.com/wp-content/uploads/2021/09/Freddie-Mac-Guide-Bulletin-2021-29-09-01-21.pdf
