mortgagee letter 2009-51 to - HUD 07-Dec-2009 Completion Report, Fannie Mae Form 1004D/Freddie Mac Form 442/March 2005. If the Social Security number for any of the borrowers on the loan casefile do not match using all nine digits, DU will advise the lender. These requirements also apply if the lender considers an appraisal to be deficient (see B4-1.3-12, Quality Assurance). A hard refresh will clear the browsers cache for a specific page and force the most recent If you still have Technical Support questions, A hard refresh will clear the browsers cache for a specific page and force the most recent ordinance or based on property condition). B4-1.3-06, Property Condition and Quality of Construction - Fannie Mae When the servicer determines the property is vacant, the servicer must take the actions A map showing the location of the subject property and the comparables that the appraiser used. In general, the home inspection requirements for Fannie Mae are meant to protect the borrower and the lender. However, lenders are not required to comply with the waiting period and re-establishment of credit requirements for significant derogatory credit events or the payoff or satisfaction of a judgment identified on the credit report. This form is not designed to report an appraisal for a manufactured home, or for a unit in a condo or co-op project. Project Eligibility Review Service (PERS) Overview - Fannie Mae If, after completion of the review, Fannie Mae determines that the mortgage loan did not meet its eligibility or underwriting requirements and Fannie Mae has incurred a loss by selling the property, the seller/servicer will be required . Final Inspection as needed Owner of record should match (AOS, Title/HUD) . . This is a dual- purpose form. Visit Selling and Servicing Guide Communications and Forms. The floor plan must include the following: For a unit in an apartment-style condo or co-op project, the sketch of the unit must indicate interior perimeter unit dimensions rather than exterior building dimensions (dimensions and estimates for gross living area shown in the condo documents are acceptable). endstream endobj startxref an MBS mortgage loan serviced under the special servicing option. For a comprehensive list of resources such as access forms, announcements, lender letters, notices and more. Events, Inspecting a Property Securing a Delinquent Mortgage Loan, Inspecting and Repairing a Property in Disrepair, Inspecting and Protecting a Vacant or Abandoned Property, E-3.3-03, Inspecting Properties Prior to Foreclosure Sale, A4-2.1-02, Property Inspection Vendor Management and Oversight, D1-3-01, Evaluating the Impact of a Disaster Event and Assisting a Borrower, Property Preservation Matrix and Reference Guide, A2-1-01, General Servicer Duties and Responsibilities, D2-2-01, Achieving Quality Right Party Contact with a Borrower, an interior inspection as allowed by applicable law, agrees to arrange for the necessary repairs and has the financial resources to do The loan file must include the final UCDP Submission Summary Report (SSR) from each agency regardless of the final Document File Status. Use of Form 1004D and completion alternatives varies depending on the type of valuation method and condition (completion, alteration, inspection, or repair) that must be verified. Execution, Learning and submit a recommendation for further action to its Fannie Mae Servicing Representative If the final title report is issued before the completion of the improvements, lenders must obtain an endorsement to the title policy that ensures the priority of Fannie Mae's lien. to the extent that local laws allow such action. Appraisal Update and/or Completion Report - Fannie Mae See B4-1.3-12, Quality Assurance, for information concerning changes to the appraised value. fannie mae appraisal reconsideration of value PDF Correspondent Lending Conforming Agency Overlays . If a property is subsequently inspected and remains vacant, the continued vacancy all delinquent mortgage loans and continue inspecting every calendar month as long When a property securing a mortgage loan experiences an insured loss, the servicer must ensure the proof of loss claim is filed within the time period specified in the insurance policy and monitor the disbursement of insurance loss proceeds (see Disbursing Insurance Loss Proceeds Based on the Mortgage Loan Status and the Borrowers Intent for additional information). 5. the property securing the mortgage loan by the earlier of. Revised the General Inspection Requirements section to align with the appraiser requirements stated in the Appraisal Management Policy. If you have additional questions, Fannie Mae customers can visit Ask Poli to get If the lender obtains more than one appraisal for a loan due to applicable law, regulation, lender policy, or otherwise, the lender must. However, the servicer must complete more frequent property . See Feb 2022 - Present1 year 2 months. performed in an office setting without visual inspection of the actual premises of the subject property or the comparable properties cited in the appraisal report. If the first lien mortgage loan servicer does not intend to take any action to repair The servicer must complete a final property inspection within 35 days prior to the The property data may be collected through secondary data sources or by someone other than the appraiser. provide the dimensions of all exterior walls. PDF FAQ Frequently Asked Questions - USDA Rural Development Criteria for Use of Form 1004D and Completion Alternatives. For a comprehensive list of resources such as access forms, announcements, lender letters, notices and more. This may include but is not limited to foundation settlement, water seepage, active roof leaks, worn roof shingles, inadequate electrical service or plumbing fixtures, etc. Note: If the servicer is unable to establish contact with the borrower or the property is abandoned, the servicer must ensure the property is maintained and secured by complying with the requirements in E-3.2-12, Performing Property Preservation During Foreclosure Proceedings and the Property Preservation Matrix and Reference Guide to ensure the property is maintained and preserved. Condo. Otherwise, an appraisal with an interior and exterior inspection is required. Visit Selling and Servicing Guide Communications and Forms. If a property previously reported The servicer must follow the procedures in Reimbursement for Property Inspections (These requirements are not applicable when energy improvements are included in HomeStyle Renovation loan). View full Fact Sheet. Events, Verification of Completion: New or Proposed Construction, Verification of Completion: Existing Construction, B4-1.2-04, Appraisal Age and Use Requirements, B4-1.2-01, Appraisal Report Forms and Exhibits, B4-1.3-06, Property Condition and Quality of Construction of the Improvements, B5-3.3-01, HomeStyle Energy for Improvements on Existing Properties, Borrower/builder attestation letter with supporting evidence, Borrower attestation letter with supporting evidence. Acceptable postponed items include items that: are part of the sales contract (third-party contracts are not permissible); are postponed for a valid reason, such as inclement weather or a shortage of building materials; and. When a property inspection is required every calendar month, the property inspections must occur between 20 and 35 days apart. Note: If the servicer is unable to establish contact with the borrower, the servicer must contact the insurance carrier to determine whether the borrower has filed the proof of loss claim. For appraisals of one-unit properties and units in PUDs (including those that have an illegal second unit or accessory dwelling unit) that are based on interior and exterior property data collection. to be vacant becomes occupied, a new signed inspection report is required if the property Delivery method and timing . Borrower attestation letter: A letter is permitted to confirm completion of certain alterations or repairs for existing construction. an effort undertaken jointly by Freddie Mac and Fannie Mae at the direction of the Federal Housing Finance Agency. 209.04 Additional Requirements for Monthly Remittance for Security Transactions. the execution of a Mortgage Release, or the mortgage loan becomes current unless otherwise Loansmay be delivered before postponed items are complete; however, the postponed improvements must be completed within 180 days of the date of thenote. The appraisal update must occur within four months prior tothe date of the note and mortgage. wire any insurance loss proceeds that were a result of a claim filed by Fannie Mae's property recovery firm or that were received by the servicer after confirming the REOgram to Fannie Mae within 10 business days of receipt. In This Section. B-5-01: Insured Loss Events (07/14/2021) - Fannie Mae information from other Fannie Mae published sources. endstream endobj 366 0 obj <. Cindy Gaviria - Business Support Representative / Loan Officer feel free to email. Acceptable postponed items include items that will not prevent the issuance of an occupancy permit. Fannie Mae Home Inspection Requirements | Daystar Properties must follow up until the repairs have been completed. However, the servicer must not complete a property inspection every calendar month Execution, Learning Can a loan be delivered to Fannie Mae if the property is located on a community- owned or privately maintained To: All Fannie Mae Single-Family Sellers and Servicers Reimbursement for Property Inspections and Additional Servicing-Related Reminders. Although the scope of work for the appraisal or the extent of the appraisal process is guided by Fannie Maes appraisal report forms, the forms do not limit or control the appraisal process. F-1-05, Expense Reimbursement for requesting reimbursement of property inspection fees. See preceding section, Age of Appraisal and Appraisal Update Requirements, for requirements for completing an appraisal update. is current and/or the property is occupied, determine if inspections are necessary and whether it should pursue other actions, 214.03 B Fannie Mae Will Not Confirm Nor Is Responsible for Amounts Owing to Servicer. In addition, appraisals for units in condo projects that consist solely of detached dwellings may be documented on Form 1004, if the appraiser includes an adequate description of the project and information about the homeowners association fees and the quality of the project maintenance. When the servicer learns of any condition detrimental to the value of the property The Rule requires that creditors . certification language that the property was constructed in conformity with the plans and specifications including any amendments or changes, signatures and dates by the borrower(s) and builder, and, exterior and interior photos of the property (see. The servicer must release the insurance loss proceeds received from the insurance carrier based on the status of the mortgage loan at the time of the loss event. Having Issues with Seeing this Page Correctly? PDF HomeStyle Renovation Mortgage - Federal Deposit Insurance Corporation The servicer must follow the procedures in General Expense Reimbursement Requirements in F-1-05, Expense Reimbursement for advancing funds to make . We recommend that you use the latest version of FireFox or Chrome. so, is willing to make the repairs, but is unable to do so, is authorized to ask Fannie Mae to advance the necessary funds by requesting expense Borrower/builder attestation letter: For new or proposed construction, a letter is permitted to confirm the property was completed and constructed in conformity with the plans and specifications, amendments, and change orders. Appraisers may not add limiting conditions. Fannie Mae customers! Minor conditions and deferred maintenance items include, but are not limited to, worn floor finishes or carpet, minor plumbing leaks, holes in window screens, missing handrails, or cracked window glass and are typically due to normal wear and tear. 1004d - Fill Online, Printable, Fillable, Blank | pdfFiller Clearly identify the repairs that are being documented and confirm the repairs, How to do a hard refresh in Internet Explorer. Get answers to your Selling Guide & policy questions with Fannie Mae's AI-powered search tool. It should be noted that, in addition to these requirements, the appraiser is expected to provide any additional attachments or addenda to the appraisal report necessary to provide an adequately supported opinion of market value. Get answers to your Selling Guide & policy questions with Fannie Mae's AI-powered search tool. We design, build and sell homes in high-growth markets, including Charlotte, Raleigh, Jacksonville, Orlando, Denver, the Washington D.C. metropolitan area, Austin . submit the appraisal selected by the lender through the UCDP prior to delivery. B4-1.4-10, Value Acceptance (Appraisal Waiver) (03/01/2023) Mortgage Loans for Properties that are Abandoned and/or Have a Scheduled Foreclosure Sale Date: If the borrower wants to repair or restore the property, then the servicer must take the actions described in the following table. However, if the contractor or builder offers a guaranteed fixed-price contract for completion of the improvements, the funds in the completion escrow only need to equal the full amount of the contract price. version of a page. information from other Fannie Mae published sources. delays, the servicer must document efforts to conduct timely inspection and the reason complete a property inspection every calendar month as long as the mortgage loan remains If a property inspection reveals an insurable loss event and the proof of loss claim is not filed, is denied, or is curtailed due to the servicers failure to file a timely claim, the servicer must make Fannie Mae whole for any losses relating to the property damage, expenses, or fees Fannie Mae incurs. property inspection reports, . Lender Requirements. When should the property inspection be performed if it is - Fannie Mae B4-1.2-01, Appraisal Report Forms and Exhibits (03/01/2023) - Fannie Mae Advance the funds to pay expenses. Get answers to your Selling Guide & policy questions with Fannie Mae's AI-powered search tool. 365 0 obj <> endobj The table below describes requirements related to properties that are new or proposed construction that are not complete when the loan is sold to Fannie Mae. Fannie Mae will accept the following additional notice or statement when appraisers believe the lender/client is the only intended user: The intended user of this appraisal report is the lender/client. However, the servicer must complete more The servicer must use a Property Inspection Report ( Form 30) or its own form that provides equivalent information to document the property inspection. must determine what action the first lien mortgage loan servicer intends to take. 1004D Appraisal Update vs. Completion Certification (Final Inspection The appraiser can complete the Completion Report section of Form 1004D based on an on-site visual inspection of the property. A hard refresh will clear the browsers cache for a specific page and force the most recent feel free to email. School of Multifamily Property Inspections. Fannie Mae's Home Retention and Liquidation Workout Options, but the servicer has determined that a workout option is appropriate, it must submit the case to Fannie Mae for review through Fannie . Immediately issue the borrower a check for any amount designated for contents (for example personal property) or living expenses. Conventional loan home requirements are pretty lenient. a property inspection, it must notify the first lien mortgage loan servicer of the information from other Fannie Mae published sources. Obtain the proper lien releases, if applicable. Inspector Information A. Obtain complete details on the damage to the property and determine the needed repairs. All completion documentation must include one or more visually verifiable exhibits. Having Issues with Seeing this Page Correctly? When there is a Social Security number match, DU will underwrite the loan casefile as a high LTV refinance loan. Ask Poli for Servicers. Note: If the servicer determines that payment to a third party is warranted to protect the security interest of the property and/or benefit of the borrower, the servicer must request prior approval by submitting a Report of Property Insurance Loss (Form 176) to Fannie Maes SF CPM Division (see F-4-02, List of Contacts). . If the appraiser indicates on the Form 1004D that the property value has declined, then the lender must obtain a new appraisal for the property. Lenders and borrowers must execute an escrow agreement that states how the escrow account will be managed and how funds from the escrow account will be disbursed. For certain loan casefiles, DU will offer value acceptance (appraisal waiver) or value acceptance + property data - options to sell the loan to Fannie Mae without an appraisal. Additional responsibilities depend upon whether the property can be legally rebuilt, as described in the following table. Lenders must ensure the escrow account is a custodial account that satisfies Fannie Maes criteria for custodial accounts and depositories as outlines in, Lenders must ensure the escrow account is a custodial account that satisfies Fannie Maes criteria for custodial accounts and depositories as outlined in, Lender must ensure the escrow account is a custodial account that satisfies Fannie Maes criteria for custodial accounts and depositories as outlined in, How to do a hard refresh in Internet Explorer. & Insights, Pricing & Property Inspection Report Section L - Fannie Mae loan must take depending on the borrowers action. Fannie Mae Executes its First Credit Insurance Risk Transfer Transaction of 2023 on $11.8 Billion of Single-Family Loans February 27, 2023 Fannie Mae Releases January 2023 Monthly Summary Appraisal reports must reflect adverse conditions that were apparent during the inspection or discovered while performing research, such as, but not limited to, needed repairs, deterioration, or the . applicable law allows for the accumulated interest to be applied to the UPB. if there is potential danger to the inspector. Center, Apps The borrower/builder attestation letter must include (at a minimum) the following items: If a letter signed by both parties is not obtainable, then a Form 1004D completed by the appraiser is required. Appraisal and Property -Related - Fannie Mae A hard refresh will clear the browsers cache for a specific page and force the most recent The loan must comply in all respects with Regulation Z requirements for such loans, including the underwriting and consumer protection requirements. A hard refresh will clear the browsers cache for a specific page and force the most recent the offer is not more than four months old on the date of the note and the mortgage. Lenders must establish a completion escrow for the postponed energy-related improvements by withholding funds equal to 120% of the estimated cost for completing the improvements. is authorized to make the disbursement in one payment. Note: See Establishing Written Policies or Procedures in A4-1-01, Staffing, Training, Procedures, and Quality Control Requirements and A4-1-02, Establishing Custodial Bank Accounts for additional details, including requirements for addressing unapplied funds held in the T&I custodial account and for reporting the status of funds in the custodial account to Fannie Mae. when the mortgage loan is 90 or more days delinquent if. Verification of completion of construction is required (in accordance with the requirements above) before sale of the loan to Fannie Mae, unless the lender complies with the postponed improvements policies described below. At a minimum, the appraisal report must include photographs of the following: main living areas of the property (such as the living room, family room, dining room, all bedrooms, etc. This topic contains information about the following: When an appraisal is obtained, the property must be appraised within the 12 months prior to the date of the note and mortgage. Events, Chapter B-5, Property and Flood Insurance Loss Events and Claim Settlements, Disbursing Insurance Loss Proceeds Based on the Mortgage Loan Status and the Borrower's Intent, Performing Remote Insured Loss Repair Inspections, Depositing the Insurance Loss Proceeds Not Disbursed, E-3.2-12, Performing Property Preservation During Foreclosure Proceedings, Property Preservation Matrix and Reference Guide, D2-3.1-01, Determining the Appropriate Workout Option, A4-1-01, Staffing, Training, Procedures, and Quality Control Requirements, A4-1-02, Establishing Custodial Bank Accounts. the servicer must notify Fannie Maes Legal Department by submitting a, is or becomes delinquent and the servicer determines the property is vacant, follow the requirements for inspecting, securing, and repairing vacant properties Appraisal Update and/or Completion Report (Form 1004D). If the appraisal report is greater than fourmonths fromthe date of the note and mortgage, then an appraisal update is required. Conduct a final inspection to ensure all repairs are completed if the mortgage loan is 31 days or more delinquent at the time of the loss event. Appraiser Independence Requirements - Fannie Mae With the exception of loans underwritten under the Alternative Qualification Path, lenders are not required to. If the first lien mortgage loan servicer does not intend to take any action to repair the property, the servicer must contact its Fannie Mae Servicing Representative (see F-4-02, List of Contacts). Notice of Filing - Original Note, Copy of Original Mortgage d promptly upon completion If you still have Technical Support questions, XLS www.lakeviewcorrespondent.com See Gross Living Area in B4-1.3-05, Improvements Section of the Appraisal Report for additional information. Loan-level price adjustments: . Notice of Filing - Original Note, Copy of Original Mortgage d, Assignment of Mortgage, Demand Letter , Loan Payment Hitory & Verified Statement as to Plaintiff's CostsParty: Plaintiff Federal Nat Mtg Assn ("FANNIE MAE") Home Inspection | Fannie Mae