In Single-Family Seller/Servicer Guide (Guide) Bulletin 2021-11, we’re announcing that we will only buy loans secured by investment properties or second homes that are Loan Product Advisor® (LPASM) mortgages with risk class of Accept.

  • Effective for mortgages with settlement dates on or after May 1, 2021, we will no longer purchase manually underwritten mortgages secured by investment properties or second homes.
  • Effective April 15, 2021, non-LPA loans secured by investment properties or second homes that are submitted or resubmitted to Loan Quality Advisor® will receive a risk assessment result of “Yellow – High Likelihood of Caution” and will be not eligible for sale to Freddie Mac.

These updates will help us manage our compliance with the acquisition limit set by the amended Preferred Stock Purchase Agreement (PSPA) for mortgages secured by either investment properties or second homes.

Review the Guide Bulletin for more information.