Each loan that Fannie Mae acquires is evaluated against 10 criteria across three dimensions, focusing on income, borrower, and property attributes that align to many of our statutory affordable housing responsibilities or other important Mission goals. The loan-level Mission Score is the number of dimensions (ranging from 0 to 3) that a given loan meets. The loan-level Mission Score is important because it determines eligibility for the Whole Loan Conduit’s (WLC) Mission Score products and also contributes to the pool-level MCS and MDS disclosures. Loan-level mission scores may be used solely to facilitate securitization of the applicable mortgages into Fannie Mae Single-Family Social MBS.

Lenders are encouraged to use the Mission Score API, EarlyCheck™ and/or Loan Delivery to score their pipelines. The Mission Score API provides the loan-level all-in Mission Score for originated loans at any point during the loan lifecycle based on the input data. Although EarlyCheck can be leveraged at any point during the loan life cycle, only the Uniform Loan Delivery Dataset (ULDD) filetype is evaluated in determining the loan-level Mission Score.

Other tools include Desktop Underwriter® (DU®) and the Loan-Level Mission Score Dashboard. Learn more about each tool.
 

There are a number of reasons a lender might see differences in the loan-level Mission Score across tools. 

If a loan’s census tract changes throughout the origination process, certain criteria may be affected. Additionally, some criteria are dependent on census tract designations that are updated annually, which may impact scoring before and after file changeover. 

The final loan-level Mission Score is based on the census tract designation at the time of loan delivery. Finally, DU and Loan-Level Mission Score Dashboard scores do not score the Affordable Rental and Special Purpose Credit Program criteria.

Pools only receive a Social label based on the Mission Index disclosures (MCS and MDS), which are based on the final loan-level Mission Scores determined in Loan Delivery. To take advantage of any market-based premiums for Social MBS, the pool’s Mission Index disclosures must meet certain thresholds; consequently, any available market-based financial incentives for lenders would be based on final, not preliminary, loan-level Mission Scores.

Fannie Mae technology service providers (TSPs) are introducing integrations with our tools to ease operational challenges and make it easier to identify the loan-level Mission Scores. For additional information on the best way to view loan-level Mission Scores in your LOS, Product & Pricing Engine, or other technology partner, contact your Fannie Mae account representative. 

Every loan acquired by Fannie Mae, whether through the Whole Loan Conduit or as part of a pool, is reviewed to determine if it meets one or more of the ten mission criteria and to calculate a Loan-level Mission Score that reflects the number of mission dimensions satisfied. Every pool that contains at least 10 eligible loans is assigned an MCS value, which represents the percentage of loans within the pool that meets at least one of the ten mission criteria. The pool is also assigned a MDS which represents the average of the loan-level Mission Scores for the pool. 

Yes, pricing incentives may be available for loans and pools that meet specific criteria. Since Fannie Mae first began auctioning labeled Social MBS in March 2024, investors have exhibited strong demand for certain securities carrying a Social label. Owing to their attractive prepayment features, investors have paid a premium, or “pay-up”, for such bonds over generic new production. Fannie Mae has transmitted this market-based incentive to whole loan sellers to acquire loans featuring high Mission Scores. Cash sellers can receive pricing incentives from the WLC by committing and delivering eligible loans into Mission Score products. MBS sellers can receive pricing incentives directly from the market by issuing and selling high Mission Index pools that qualify for Social labels. Social labels are assigned to pools with MCS = 100 and MDS ≥ 2.0.

Mission Score product grids, available for committing in Pricing & Execution - Whole Loan® (PE - Whole Loan®) and MarketPoint®, may be eligible for market-based incentives from Fannie Mae (market-dependent). MBS lenders can create and auction their own Social Bonds by targeting the appropriate MCS and MDS thresholds.

No, the criteria are established as part of the Mission Index framework, and final scores are automatically calculated in Loan Delivery. Although the adaptable design allows the criteria to be adjusted, added, or removed over time as conditions change, we will strive to adjust the Index no more frequently than every 24 months. Advance notice will be provided ahead of any planned updates.

Yes, all lenders who deliver loans to Fannie Mae, whether through the Whole Loan Conduit or as part of a pool, will have their loans/pools scored by the Mission Index.

Loans collateralized by second homes and seasoned loans receive a score of 0 across all criteria (and by extension, 0 for the aggregate loan-level Mission Score). 

A pool must have at least 10 eligible loans to qualify for Mission Index disclosures. Loans collateralized by second homes do not count toward this 10-loan minimum, while seasoned loans (aged more than 12 months at acquisition) do count toward this 10-loan minimum. Pools with 9 or fewer eligible loans receive a masked MDS of 7.77 and masked MCS of 777.77.
 

Yes, Fannie Mae and Freddie Mac worked closely, and in alignment with FHFA, to evolve the Mission Index based on market feedback. The Enterprises are aligned in the Mission Index disclosures and Single-Family Social Bond Frameworks.

Contact your Fannie Mae account representative.