Freddie and Fannie Updates for Short Sale Processing

Freddie Mac and Fannie Mae are changing their requirements to help more borrowers with short sales and Deeds-in-Lieu to become affective Mid-January. They are trying to ease eligibility requirements for homeowners for liquidation workout options. Documentation exceptions have been expanded to include Chapter 7 BKs regardless of the borrowers’ FICO scores. The not-so-good news is Investor loans must now include a complete Borrower Response Package (BRP) to evaluate these borrowers’ cash reserves. For the full article recently published in please click here.