Fannie Mae: SVC-2020-05: Servicing Guide Updates

Fannie Mae: SVC-2020-05: Servicing Guide Updates

Investor Update
October 14, 2020

Source: Fannie Mae

Foreclosure bidding / Third party sales

The VMS Valuation Order Template has been updated to require the foreclosure sale date be completed when a servicer is requesting the property valuation for bidding instructions.

Effective: This policy clarification is effective immediately. This policy change is not applicable to reverse mortgage loans.

Revisions to Evaluation Notices and the Payment Deferral Agreement

At the request of the Treasury Department, we have revised our Evaluation Notices and payment deferral agreement with regard to a borrower maintaining or losing HAMP “pay for performance” incentives to eliminate such action being tied to  “good standing”. With the November Servicing Guide update, we will also be revising this language as it relates to D2-3.2-06, Disaster Payment Deferral.

Additionally, we have revised the Evaluation Notices in accordance with recent policy updates to remove references to disaster event policies.

As a reminder, all communications with borrowers must comply with applicable law.

Effective: These revisions are effective immediately.

For full update, please click the source link above.