Selling Policy Communications
Access a list of Selling Announcements, Lender Letters, Notices, and related communications.
Selling Guide updates typically are published on the first Wednesday of the month.
| Lender Letter LL-2021-09 – Introduction of Changes to Loan Eligibility Due to the PSPA and Qualified Mortgage Rule | April 8, 2021-This Lender Letter provides notice that loans we purchase with application dates on and after July 1, 2021 must meet the Consumer Financial Protection Bureau’s Revised Qualified Mortgage Rule under the Ability to Repay regulation. Additional policy and implementation details will be provided in a future communication. |
| Announcement SEL-2021-03 – Selling Guide Updates | April 7, 2021-This Selling Guide update includes: new forms for Fannie Mae review of co-op projects; revised Master Terms and Conditions to the Software Subscription Agreement; clarification of lender responsibilities related to gift funds identified in the Desktop Underwriter® validation service; eligibility of loans secured by second home and investment properties, incorporating the requirements announced in a prior Lender Letter; and a miscellaneous process change. |
| Lender Letter LL-2021-08 – Second Home and Investment Properties Eligibility | March 10, 2021-This Lender Letter updates our policies to require that any loan secured by a second home or investment property be delivered as a Desktop Underwriter® (DU®) loan with an Approve/Eligible recommendation (with one exception). |
| Announcement SEL-2021-02 – Selling Guide Updates | March 3, 2021-This Selling Guide update revises power of attorney eligibility and documentation requirements, removes references to the Servicing Execution Tool™ ahead of the transition to Servicing Marketplace®, updates the list of risk factors evaluated by Desktop Underwriter® , and aligns the definition of planned unit development across the Guide. |
| Lender Letter LL-2021-06 Mortgage Insurance Updates | February 17, 2021-This Lender Letter updates the MassHousing Mortgage Insurance Fund’s Loan Loss Reserve Agreement, Commitment/Certificate, and Mortgage Payment Protection Endorsement Forms as well as the list of Approved Mortgage Insurance Forms. |
| Announcement SEL-2021-01 – Selling Guide Updates | February 3, 2021-The February Selling Guide update simplifies the verification requirements related to seasonal and secondary income, updates the seller/servicer post-purchase adjustment (PPA) process to require the use of the PPA form, and removes references to lenders authorizing release of MI data to us. |
| Lender Letter LL-2021-05 - Retirement of CMT Adjustable-Rate Mortgage Products | February 3, 2021-This Lender Letter provides advance notice that we will cease purchasing Constant Maturity Treasury (CMT)-indexed ARMs later this year. While the CMT index is not going away, we will no longer acquire loans based on this index. |
| Lender Letter LL-2021-01 Appraisal Risk Management Policy Reminders and Resources | January 6, 2021-This Lender Letter reiterates lenders’ responsibilities for appraisal review and for compliance with Appraiser Independence Requirements; provides examples of appraisal findings and defects; suggests best practices for lenders’ appraisal-related underwriting and quality control processes; and points out resources to help lenders manage appraisal risk efficiently and effectively. |
| Announcement SEL-2020-07 – Selling Guide Updates | December 16, 2020-The December Selling Guide update expands eligibility to allow the sale of loans secured by single-width manufactured homes; updates requirements related to the use of retirement, government annuity, and pension income; modifies our seller/servicer eligibility standards related to minimum liquidity; updates our sale of personal assets documentation requirements; simplifies our eligibility requirements for community land trusts; removes earthquake insurance requirements in Puerto Rico and Guam; clarifies how lenders may use pro-rated tax credits toward closing; and more. |
| Lender Letter LL-2020-03 – Impact Covid-19 Originations | December 10, 2020-This Lender Letter provides reminders and temporary flexibilities to support mortgage originations. |
| Lender Letter LL-2020-04 – Impact Covid-19 Appraisals | December 10, 2020-This Lender Letter provides temporary guidance on appraisal requirements and completion reports, including allowing exterior-only and desktop appraisals for many transactions. |
| Lender Letter LL-2020-14 – Confirmation of Conventional Loan Limits for 2021 | November 24, 2020-Loan limits in 2021 are increasing. The new loan limit for most of the country will be $548,250 — a 7.42% increase over the 2020 limit — and is effective for whole loans delivered to Fannie Mae and loans in MBS pools with issue dates on or after Jan. 1, 2021. |
| Lender Letter LL-2020-06 – COVID-19 Selling Loans Forbearance | November 13, 2020-This Lender Letter provides temporary liquidity options for certain loans in forbearance after loan closing. |
| Announcement SEL-2020-06 – Selling Guide Updates | October 7, 2020-October’s Selling Guide update includes changes to remote online notarizations; clarifications to project standards requirements; the removal of validation of employment and income using manual verification reports from the Desktop Underwriter® (DU®) validation service; changes to how variances will reflect HomeReady® eligibility; and updates clarifying cash-out refinance vesting requirements when there are multiple borrowers and that gifts of equity are permitted as down payment or toward closing costs. |
| Lender Letter LL-2020-12 – New Adverse Market Refinance Fee | September 24, 2020-This Lender Letter provides information about a new adverse market refinance fee (loan-level price adjustment) that will apply to most refinances. |
| Announcement SEL-2020-05 – Selling Guide Updates | September 2, 2020-September’s Selling Guide update includes changes related to accessory dwelling units, the removal of references to refinanced or modified balloon loan policies, and clarifications regarding non-occupant borrowers. |
| Announcement SEL-2020-04 – Selling Guide Updates | August 5, 2020-The August Selling Guide update clarifies solar panel policies based on different financing structures, revises the representations and warranties framework for loans in forbearance to align the Guide with LL-2020-06 (Selling Loans in Forbearance Due to COVID-19), and removes references to Master Agreements. |
| Lender Letter LL-2020-10 – Usage of Redesigned Form 1003 | July 1, 2020-This Lender Letter provides information about the use of the redesigned Form 1003. |
| Announcement SEL-2020-03 – Selling Guide Updates | June 3, 2020-June's Selling Guide update includes changes to lease review requirements, provides additional flexibility to lenders to choose the late charge amount identified in the note, clarifies project standards policies on horizontal property regimes and environmental hazard assessments, clarifies HomeStyle® Energy debt pay-off policies, and other miscellaneous updates. |
| Selling Notice – HomeReady Income Limits 2020 | June 3, 2020-Area Median Income estimates (AMIs) are provided to Fannie Mae by our regulator, the Federal Housing Finance Agency. These AMIs are used in determining borrower eligibility for HomeReady mortgage loans. |
