Freddie Mac New Mortgage Eligibility Criteria
Effective for loans with Application Received Dates on or after January 10, 2014, our new mortgage eligibility requirements will apply. Our new mortgage eligibility requirements are in response to the Consumer Financial Protection Bureau's (CFPB) final rule implementing the Ability to Repay (ATR) provisions under the Truth-in-Lending Act (TILA) as amended by the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010.
Freddie Mac will not make the determination as to whether a mortgage is exempt from, or complies with, the CFPB final rule or whether a Seller's designation of the status of a mortgage under the CFPB final rule is correct.These determinations of compliance with the CFPB final rule and other applicable laws are the Seller's responsibility.
As a reminder, mortgages with original maturities in excess of 30 years and Prepayment Penalty Mortgages must have a Freddie Mac Settlement Date on or before July 31, 2014.
Please refer to the Single-Family Seller/Servicer Guide (Guide) for complete information relating to the new mortgage eligibility requirements. In addition, we recommend you review related announcements and the resources we've developed to help you become familiar with the new mortgage eligibility requirements.
- January 2, 2014, Single Family News Center article
- Guide Bulletin 2013-23
- October 29, 2013, Single Family News Center article
- October 1, 2013, Industry Letter
- Guide Bulletin 2013-16
- July 2, 2013, Industry Letter
- May 6, 2013, Industry Letter
Training & Education
We are updating our Learning Center’s training opportunities and educational resources to reflect the new mortgage eligibility requirements and revised quality control practices. Check back for updated training and new educational opportunities.
Freddie Mac and Fannie Mae have worked collaboratively at the direction of the Federal Housing Finance Agency to develop these new mortgage eligibility requirements.