Bulletin 2024-040 Freddie Mac ACE + PDR bACE API Interface
Newrez LLC "Newrez" Approved Correspondent Clients; Loans with application dates on or after April 1, 2024 containing an ACE + PDR appraisal method, must submit a PDF report that uses the Uniform Property Dataset report (UPD) and includes the required certifications, floor plan and photographs to Freddie Mac using the Beyond ACE application programming interface (bACE API).
The PDR must also be reviewed to determine whether the subject property meets eligibility requirements. The API will return feedback messages that may help you assess the submitted PDR. If it is determined that updates or changes to the PDR are necessary, the updated PDR must be resubmitted to the API.
bACE API and Collateral Rep and Warranty Relief:
The Correspondent must submit a request to Freddie Mac to permit Freddie Mac to establish a relationship between the Correspondent and the AMC allowing the AMC to perform services on their behalf via Loan Selling Advisor System-to-System Access. Refer to the applicable link below for details.
Seller/Servicers:
https://sf.freddiemac.com/general/loan-advisor-registration_seller-amc-relationship
Third Party Originators:
https://sf.freddiemac.com/general/loan-advisor-registration_tpo-amc-relationship
ACE + PDR Process and New Messages:
The initial LPA submission will identify if the loan is eligible for an ACE + PDR (message FPA0100) and will also include another message reminding the lender that the PDR must be submitted via the bACE API (message FPA0172).
After the PDR has been submitted to the bACE API, LPA must be rerun. LPA will use information from the PDR submission to return new collateral representation and warranty messages including any collateral R&W relief eligibility (message FPA0162 or FPA0167).
If the loan has not been run through bACE API, the transaction will not be eligible for purchase by Newrez.
One of the following messages must be present in LPA at time of purchase:
LPA Message Code: FPA0162
Message Text: Loan is eligible for collateral representation and warranty relief with a property data report (ACE+ PDR) through <>. The submitted value estimate or purchase price is accepted as the value of the subject property; therefore, an appraisal is not required, and Seller will be relieved of representations and warranties related to value. Based on the property data submitted to bACE API, ensure that any required repairs and/or inspections are completed prior to delivery.
Purpose: Informational message that the loan is eligible for Collateral Rep and Warranty relief but Seller needs to ensure required repairs and/or inspections are completed prior to delivery
LPA Message Code: FPA0167
Message Text: Loan is eligible for collateral representation and warranty relief with a property data report (ACE+ PDR) through <>. The submitted value estimate or purchase price is accepted as the value of the subject property; therefore, an appraisal is not required, and Seller will be relieved of representations and warranties related to value.
Purpose: Informational message that the loan is eligible for Collateral Rep and Warranty relief.
Additional Resources:
ACE + PDR offering webpage
https://sf.freddiemac.com/tools-learning/loan-advisor/our-solutions/ace-pdr
Freddie Mac – ACE + PDR Frequently Asked Questions
https://sf.freddiemac.com/faqs/ace-pdr-faq
Freddie Mac – bACE API System-to-System Related 3rd Party Access Form
https://sf.freddiemac.com/general/bace-api-system-to-system-related-third-party-access
Freddie Mac – Complete list of New LPA Feedback Message
https://sf.freddiemac.com/docs/pdf/lpa-feedback-messages_032824.pdf