June Loan Product Advisor Releases
June is National Homeownership Month and it’s just around the corner. Read up on upcoming Loan Product Advisor® (LPASM) updates and get prepped to create homeownership opportunities for your qualified borrowers.
June Loan Product Advisor Releases
June’s releases include:
- Updating the Condo Project Design Type to default to “Garden Project” if you submit an invalid LPA enumeration.
- Retirement of feedback message FEI0294 that alerts you to the requirement of Investor Feature Identifier (IFI) H85 in Loan Selling Advisor® when using LPA asset and income modeler (AIM) for income using direct deposits as income documentation. This change aligns with a policy update in the Single-Family Seller/Servicer Guide (Guide) Bulletin 2023-6.
- Bi-annual updates to credit reporting companies and technical affiliates.
- Updating the purchase eligibility designation from “Ineligible” to “N/A” for transactions submitted as Federal Housing Administration (FHA) and Department of Veteran Affairs (VA) loans.
- Updates to Home Equity Line of Credit (HELOC) calculations so the value of “0.00” does not populate on the LPA Feedback Certificate when a loan does not contain a HELOC Balance or HELOC Limit Amount.
- Enhancement for graphical user interface (GUI) users with multiple Seller IDs to print multiple Feedback Certificates for the IDs listed in their User Profile Information.
- Consistency updates to names on the feedback and navigation link bar in the GUI portal.
Read full details in the June LPA release notes and check out the full list of June 2023 feedback messages.
Additional Feedback Message Updates
Coming in July, we’re adding, revising and retiring numerous feedback messages that will clarify required information and actions you need to take so you can get that “Accept” for your submissions:
- Data quality and system messages – effective July 2, 2023, we’re revising multiple feedback messages related to data quality to provide clear direction on what information we’re requiring from the borrower.
- Employment and income messages – effective July 16, 2023, we’re revising and retiring numerous feedback messages related to AIM for self-employed for self-employed to provide clarity and streamline the way you underwrite self-employed borrowers.
- Affordable lending messages – effective July 16, 2023, we’re adding two new messages that will indicate first-time homebuyer eligibility and if the loan meets certain credit fee cap eligibility criteria as outlined in Guide Exhibit 19A.
- CHOICEReno eXPress® messages – effective July 16, 2023, we’re revising two messages that notify you when a loan may be delivered as a CHOICEReno eXPress mortgage for clarity with more specific details of the borrower.
Click here to view these message updates or visit the Loan Advisor Resources and Learning web page.
Last Chance to Give Your Feedback: Enterprise Credit Score Model and Credit Reports Initiative
Freddie Mac and Fannie Mae (the GSEs) are beginning the next phase of the Enterprise Credit Score Model and Credit Reports Initiative (see FHFA fact sheet). The GSEs are asking industry stakeholders for feedback to inform implementation planning. You’re invited to share your feedback through this survey by May 31, 2023.
Got Questions About LPA? We’ve Got Answers
Check out our LPA FAQs for the most common questions and answers about LPA. We continuously update the FAQs with top-of-mind information you need, so you can work more efficiently.
Got a question you don’t see listed there? Contact your Freddie Mac representative or call the Customer Support Contact Center (800-FREDDIE) for assistance.