Adoption of the MBA Inspection Form
November 26, 2013
Freddie Mac Multifamily has a long history of partnering with industry groups, such as the Mortgage Bankers Association (MBA). As part of our efforts toward standardization and consistency, we have partnered with the MBA's efforts over the last year to revise and launch a new property inspection form that better meets the needs of the industry. The MBA will be releasing its new Inspection Form, version 2.06, in the upcoming weeks. We are pleased to announce that the Freddie Mac Multifamily Asset Management department will adopt the latest MBA Inspection Form effective for all 2014 Annual Inspection Form (AIF) deadlines. While Freddie Mac makes this change to better align with industry standards, it is important to note that we will not be able to accept the current Freddie Mac inspection form for AIF deadlines after January 10, 2014.
Changes to the AIF and the Property Reporting System (PRS)
The 2014 AIF template in PRS will mirror the MBA Inspection Form. Although Freddie Mac will adopt the MBA form in its entirety, the form will continue to be named AIF in our Property Reporting System (PRS). Once the new form is available, you may obtain the MBA Inspection Form either by downloading a blank version from the MBA website, or by downloading the form from PRS. If you choose to download the form from PRS, some of the fields will be automatically pre-populated just as they are today. Fields pre-populated include the following:
- Freddie Mac Loan Number
- Servicer Name
- Property Name
- Property Address (City, State)
- Investor Loan Number: S/S Loan Number
Regardless of how you download the inspection form, you will still be required to submit property photos as a separate attachment in our PRS system.
Planning for the January 10 AIF Deadline
All inspections with 2013 due dates must be submitted in PRS no later than the January 10, 2014 deadline. You will need to download the current AIF template in PRS for these submissions.
If you submit an AIF after the January 10 deadline, you will be required to use the new MBA form, instead of the 2013 Freddie Mac AIF template. PRS will not accept any AIF uploads for several weeks after the January 10 deadline, while we make changes to the system to convert to the new MBA version of the AIF template. You will still be able to upload other assessment types and view your AIF pipeline during this PRS upgrade.
Planning for 2014 Inspections
We have released the 2014 AIF and Loan Management Form (LMF) pipelines in PRS. Please note that the pipeline does not include any mortgages funding in the third or fourth quarter 2013. The remaining AIF and LMF requirements for these mortgages will be added by the end of February 2014.
2014 AIF Response Deadline Friday December 6
Similar to 2013, we are once again providing you with the option to conduct inspections for all mortgages with a risk rating of 8 to 10. Please review the pipeline and determine if you want to conduct annual inspections for all mortgages with a risk rating of 8 to 10. It’s important to note that you must choose to complete AIFs for either all mortgages with a risk-rating of 8 to 10 or for none of these mortgages. If you elect not to complete AIFs for mortgages risk-rated 8 to 10, Freddie Mac will complete them all.
You must advise us by email no later than Friday, December 6, 2013, to the Multifamily Asset Performance mailbox of your election to conduct either to all AIFs or no AIFs for mortgages with a risk-rating of 8 to 10. If you choose to have Freddie Mac continue to conduct the inspection, the risk-rating 8 to 10 will continue to show the FM Inspect flag = Yes, after the December 6 deadline.
Please watch for more information as we publish the 2014 Asset Management Calendar and information for a PRS upgrade scheduled for February. At the time of the upgrade, we will also provide training on use and submission of the new AIF template and update to the PRS Annual Inspection (AIF) & Loan Management Form (LMF) Desk Reference. Please use the following Asset Management resources on our website:
- PRS Annual Inspection (AIF) & Loan Management Form (LMF) Desk Reference
- PRS Upload Best Practices
- Assessments Completion Best Practices
- PRS Quick Start Manual
If you have any questions about templates or other PRS issues, please submit comments to the Multifamily Asset Performance mailbox with PRS Question in the subject line.