Washington, DC – The Federal Housing Finance Agency (FHFA) today announced that Fannie Mae and Freddie Mac (the Enterprises) are issuing new operational and financial eligibility requirements for all current and potential single-family mortgage Seller/Servicers. The operational requirements become effective no later than September 1, 2015 and the financial requirements become effective December 31, 2015.
In response to changes taking place in the servicing industry, FHFA directed Fannie Mae and Freddie Mac, as part of their 2014 and 2015 Conservatorship Scorecards, to update their counterparty standards for mortgage servicers. The new requirements are intended to help ensure the safe and sound operation of the Enterprises and provide greater transparency, clarity and consistency to industry participants and other stakeholders and reflect feedback received over the past several months.
The Enterprises will communicate updated requirements to Seller/Servicers in their respective guides, bulletins and announcements and through best practices documents that provide servicers clarity about Enterprise expectations.
"These updated operational and financial requirements will help mitigate risks associated with changes in the servicing industry," said FHFA Director Melvin L. Watt. "Strengthened Enterprise servicer counterparty standards should also improve access to credit and protect taxpayers by reducing market uncertainty about the Enterprises' expectations for mortgage servicer counterparties."
Link to Fannie Mae Statement and FAQs*
Link to Freddie Mac Statement and FAQs*
*FAQs are identical for Fannie Mae and Freddie Mac
Media: Stefanie Johnson (202) 649-3030 / Corinne Russell (202) 649-3032
Consumers: Consumer Communications or (202) 649-3811