GREs, Regulatory and Government Agencies
FHFA PROPOSES UPDATED MINIMUM FINANCIAL ELIGIBILITY REQUIREMENTS FOR FANNIE MAE AND FREDDIE MAC SELLER/SERVICERS The Federal Housing Finance Agency (FHFA) has proposed updated minimum financial eligibility requirements for Fannie Mae and Freddie Mac Seller/Servicers. The updated minimum financial requirements will further strengthen the Enterprises' Seller/Servicer requirements and provide transparency and consistency of capital and liquidity required for Seller/Servicers with different business models. A key improvement from the minimum financial requirements established in 2015 is that the new Enterprise standards establish financial requirements for the servicing of Ginnie Mae mortgages. FHFA is releasing the proposed requirements to provide transparency and consistency to industry participants and other stakeholders. FHFA and the Enterprises will engage with servicing industry participants, regulators and other stakeholders to obtain their feedback. FHFA will receive input on these requirements for 60 days at ServicerEligibility@fhfa.gov.The 60-day period will end on March 31. After reviewing industry and stakeholder feedback, FHFA anticipates finalizing these requirements in the second quarter of 2020, and anticipates that the requirements will be effective six months after they are finalized. Below are some frequently asked questions about the updated minimum financial eligibility requirements for Fannie Mae and Freddie Mac Seller/Servicers:
The MORTGAGE BANKER Magazine
44
March 2020
