Fannie Mae: HARP Extended; Introducing Fannie Mae Invoicing; Impacts to HSSN and SMDU
August 23, 2017
HARP extended; new high LTV refi option coming soon
The Federal Housing Finance Agency (FHFA) has announced that the Home Affordable Refinance Program® (HARP®) will be extended to Dec. 31, 2018, continuing to provide liquidity to support eligible borrowers.
In addition, Fannie Mae and Freddie Mac will introduce new high loan-to-value (LTV) ratio same-investor refinance options for loans with note dates on or after Oct. 1, 2017, with a 15-month seasoning requirement. The high LTV refinance option will provide refinance opportunities to borrowers with existing Fannie Mae or Freddie Mac mortgages who are making their mortgage payments on time but whose LTV ratio for a new mortgage exceeds the maximum allowed for standard refinance products.
Under the new option, as with HARP, the refinance must provide a borrower benefit, such as a lower interest rate. Unlike HARP, the new option will not have an expiration date. To preview Fannie Mae’s new high LTV refinance option, read the fact sheet; detailed requirements will be provided in a future lender communication.
A new invoicing system to simplify servicing
We’re introducing a new web-based application, Fannie Mae Invoicing, on Sept. 25 to eventually replace the Servicer REAM Deficiency Billing System (SRDBS). Providing easy access to consolidated loan-level invoices and direct communications with the operations team to quickly resolve claims, this new system replaces manual processing and gives servicers a significantly improved experience. Read more in the fact sheet and FAQs on the Fannie Mae Invoicing page.
Reminder: Impacts to HSSN and SMDU Aug. 26-27
For users of HomeSaver Solutions™ Network (HSSN) and Servicing Management Default Underwriter™ (SMDU™) , we recommend delaying case creation and closing from 6 p.m. ET Saturday, Aug. 26 until 10 a.m. ET Sunday, Aug. 27, as information between systems may not be synchronized due to changes in investor reporting. XML bulk file submissions for HSSN submitted during this timeframe will be held and processed on Monday, Aug. 28. SMDU Auto Decision is not impacted; SMDU will remain available per the usual availability schedule.
What’s better than fall in New England?
How about tips on increasing efficiency and improving your borrowers’ experience? Get your questions answered about Day 1 Certainty™, affordable lending, and more at our Roundtable Training Session at the New England Mortgage Bankers Conference, Sept. 13-15. See you there!
Join us at these upcoming events:
Sept. 13-15 | New England Mortgage Bankers Conference | Newport, RI
Sept. 17-20 | Pacific Northwest Mortgage Lenders Conference | Stevenson, WA
Sept. 18-20 | The 2017 Five Star Conference and Expo | Dallas
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Source: Fannie Mae