Freddie Mac issued Bulletin 2023-3 (Bulletin) announcing revisions to the Single-Family Seller/Servicer Guide. Per the Bulletin, Freddie Mac:
- Eliminated the minimum contingency reserve requirement for CHOICERenovation Mortgages sold to Freddie Mac with recourse;
- Expanded completion date and settlement date requirements for CHOICERenovation Mortgages (other than CHOICEReno eXPress Mortgages) to require all renovations be completed within 450 days of the Note date (as opposed to 365 days) and to require mortgages with settlement dates after completion of renovations to have a settlement date no more than 450 days after the Note date;
- Now permits CHOICERenovation mortgages to be used in conjunction with the Freddie Mac GreenCHOICE offering;
- Expanded LTV/TLTV/HTLTV requirements for a purchase transaction mortgage that is secured by an existing manufactured home permanently affixed to a foundation and is sold by a builder, a developer, or a manufacturer acting as a developer;
- Eliminated the 12-month seasoning requirement for an existing manufactured home that is located in a subdivision and is sold by a builder, a developer, or a manufacturer acting as a developer;
- Expanded appraisal eligibility requirements to permit desktop appraisals for certain Home Possible Mortgages that are purchase transactions;
- Created a new Exhibit 19A illustrating the eligibility criteria related to the Credit Fee Caps included in Exhibit 19;
- Updated the age of tax return requirements to reflect dates specific to the 2022 tax year;
- Retired Form 906 (Freddie Mac Loan Coverage Advisor Authorized User Role Form), Exhibit 4 (Single-Family Uniform Instruments) and Exhibit 5 (Authorized Changes to Notes, Riders, Security Instruments and the Uniform Residential Loan Application); and
- Updated the MERS street addresses for Indiana, Mississippi, New York and Pennsylvania.
The retirement of Form 906 is effective February 8, 2023. All other revisions are effective February 1, 2023.
Click to view the Freddie Mac Guide Bulletin 2023-3: https://www.tenaco.com/wp-content/uploads/2023/02/Freddie-Mac-Guide-Bulletin-2023-3-02-01-23.pdf
