Bulletin 2021-008 Agency Underwriting Guideline Updates

Agency Underwriting Guideline Updates

NewRez LLC "NewRez" Approved Correspondent Clients: please note that effective immediately, NewRez is aligning with Freddie Mac Bulletin 2020-43 and Freddie Mac 2020-45 and Fannie Mae SEL 2020-07 on the following topics:

 

Freddie Mac Bulletin 2020-43

 

Condominium Projects

 

  • Updates to Condominium Hotels and similar types of transient housing
  • Updates to the Glossary definition of 2- to 4-Unit Condominium Project
  • Requirement updates for Exempt from Review
  • Updates to the Glossary definition of Master Association
  • Clarification relating to retention of project-related documents

 

Solar Panels Power of Attorney 

 

  • Freddie Mac now requires the use of a power to be used under the following circumstances:
  • These changes align with previously announced Fannie Mae Selling Guide announcement and are located in Chapter 1D Property Types for complete requirements.
  • Clarified requirements for properties with solar panels when the solar panels are leased, financed, or owned.

 

Bulletin 2020-45

 

  • There is an emergency event (e.g., medical emergency or natural disaster) preventing the borrower from executing the requisite documents in person, by electronic signature or through other alternative electronic means; or
  • Applicable law requires the use of a POA.

 

Fannie Mae SEL-2020-07

 

  • Single-width manufactured homes: Expanded eligibility requirements.
  • Retirement, government annuity, and pension income and employment-related assets as income.
  • Sale of personal assets: updated documentation requirements.
  • Clarified the treatment of pro-rated tax credits.

 

See the following chapters in the Underwriting Guide for complete requirements:

 

  • Single-width: Chapter 1D Property Types
  • Retirement, government annuity, and pension and employment-related assets as income: Chapter 1E Employment and Income
  • Sale of personal assets: Chapters 1B Transactions and 1G Assets