Freddie Mac News

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With the June 17 Single-Family Seller/Servicer Guide (Guide) Bulletin, we continue to provide you with additional information about our requirements as you manage your origination and servicing operations to meet the needs of borrowers in today’s market. The Bulletin announces the retirement of our temporary selling requirements for mortgages affected by Hurricanes Katrina and Rita, and includes updated Guide exhibits to incorporate new state laws and authorized changes applicable to Uniform Instruments.
For Servicers, the Bulletin includes important information about increases to our foreclosure time lines in Maryland and Massachusetts that stemmed from recent changes in foreclosure law.
You’ll find complete details on these changes in today’s Guide Bulletin available on FreddieMac.com. It is important that you’re familiar with all changes announced in the Bulletin, including the following changes we are making to our:
Selling requirements:
Announcing that our temporary selling requirements for mortgages affected by Hurricanes Katrina and Rita will not be extended, and reminding Sellers that our temporary special collateral requirements for these mortgages remain in effect until further notice
Revising Guide Exhibits 4 and 5 to incorporate new state laws and authorized changes that are applicable to the Uniform Instruments listed in these exhibits
Reminding Sellers that they must provide information regarding the source and amount of secondary financing for all mortgages with secondary financing when completing Forms 11 and 13SF at delivery
Reinforcing the requirement that the mortgage file contain all relevant title policy endorsements
Adding a reference to Texas Constitution Article XVI Section 50, which describes the determination of fair market value for Texas Equity Section 50(a)(6) Mortgages
Selling and servicing requirements:
Updating existing Seller/Servicer obligations to comply with all applicable laws and regulations by adding a specific reference to compliance with The Bank Secrecy Act, the Money Laundering Control Act and Title III of the USA PATRIOT Act
Servicing requirements:
Extending our allowable foreclosure time lines in Maryland and Massachusetts in response to recent changes in foreclosure law, and to help Servicers provide assistance to borrowers facing financial hardships.
Providing additional guidance regarding reimbursement of condominium, homeowners association (HOA) and PUD special assessments
Revising and moving instructions to Servicers regarding their obligation to notify Freddie Mac in the event a disaster affects their operations
Revising the Guide to reflect that all property valuation requests must be submitted to us via our BPOdirect® Web site
Removing Section 81.4, Preparation of documents for delivery of second mortgages, as we do not currently purchase second mortgages
Updating the Guide to reflect the new address for BPO cost reimbursements and REO redemption proceeds, which resulted from the JP Morgan Chase acquisition of Bank One
Updating the designated counsel/trustee list to remove Stern, Lavinthal, Frankenberg & Norgaard, L.L.C. of New Jersey that ceased accepting new referrals under the Designated Counsel Program referrals as of May 1, 2008
We encourage you to review the entire Guide Bulletin to become familiar with all changes and updates to the Guide. Read more

Shirley Nault has been a mortgage professional for over 20 years. Visit her other mortgage web sites go to www.naultfhatips.blogspot.com or www.mtgview.blogspot.com