Loan Selling Advisor July 2024 Updates
Our recent enhancements to Loan Selling Advisor® are designed to make your loan delivery process easier. Review the following updates and reminders, which can assist you in getting your work done more efficiently.
NOW LIVE
ULDD Phase 4a Updates Now in Effect and ULDD Phase 5 Business Critical Optional Delivery Period
Effective June 3, 2024, Uniform Loan Delivery Dataset (ULDD) Phase 4a updates were made available for delivery. As of June 3, you also have the option to deliver ULDD Phase 5 Business Critical data points in production. The production baseline customer test environment (CTE) is now open to help you prepare for the optional delivery period in production.
Key Highlights to Remember:
- Your existing test environment credentials do not change, and you can use them in the production baseline CTE as well.
- Data will not transfer from one environment to the other. This includes contracts and loans that were imported, as well as custom exports you may have created.
- Contact your Freddie Mac representative or email [email protected] with the subject line “Schedule Verification” to schedule your verification and initiate the software partner verification process.
- Your software partner representative will provide you with the test cases and other needed information that you will use for your verification.
- For more information and updates, visit the ULDD webpage and review the Business Resources, Technical Resources, Announcements and Revisions tabs.
ULDD Phase 4a – Valid Value Required
Updated ULDD Phase 4a Delivery Requirements for ACE and ACE + PDR
As announced in Bulletin 2024-3 effective September 4, 2024, the new delivery requirements will be required for Automated collateral evaluation (ACE), ACE + PDR, and ACE + PDR upgrade to hybrid. You must deliver the valid values shown in the tables below.
ACE | |||
|---|---|---|---|
Sort ID | Data point name | Current Valid Values | For delivery on or after September 4, 2024 |
| 376 | Investor Collateral Program Identifier | Property Inspection Alternative Automated Collateral Evaluation | Automated Collateral Evaluation |
ACE + PDR | |||
|---|---|---|---|
Sort ID | Data point name | Current Valid Values | For delivery on or after September 4, 2024 |
| 368 | Investor Feature Identifier | J44 | No longer permitted |
| 376 | Investor Collateral Program Identifier | Property Inspection Alternative Property Data Collection | Property Data Collection |
ACE + PDR upgrade to hybrid | |||
|---|---|---|---|
Sort ID | Data point name | Current Valid Values | For delivery on or after September 4, 2024 |
| 89 | Property Valuation Method Type | Full Appraisal | Other |
| 90 | Property Valuation Method Type Other Description | N/A | Hybrid Appraisal |
| 368 | Investor Feature Identifier | J44 | *J44 |
*Note: There is no change for Investor Feature Identifier (Sort ID 368) J44.
Condo Project Advisor
As previously announced on May 16, 2024, the following two Condo Project Advisor data points from the optional delivery period which began June 3, were revised to the new format limits below:
| Sort ID | ULDD Data Point | Old Format | New Format | New Format Example | Optional Period | Customer Testing Available |
|---|---|---|---|---|---|---|
| 49.3 | FRE Condo Project Advisor Project Assessment Request Identifier | Numeric 10 | String 12 | PAR123456789 | July 27, 2024 | July 29, 2024 |
| 49.4 | FRE Condo Project Advisor Project Waiver Request Identifier | Numeric 10 | Numeric 8 | 12345678 |
*Note: Continue to deliver the required Condo Project Advisor Project Assessment Request (PAR) and Project Certified Identifiers (IFI) K01 and (IFI) J97.
Please note, while the optional delivery period and customer testing dates were revised for these two datapoints, the ULDD Phase 5 mandate date for these two data points is still July 28, 2025, consistent with all other ULDD Phase 5 datapoints.
Remote Online Notarization Indicator Delivery Instructions for Loans Sold Through Cash-Released XChange®
Effective June 3, for loans closed using the remote online notarization (RON) process, you have the option to deliver the new ULDD Data Point Remote Online Notarization Indicator (Sort ID 398.2), except for contracts fulfilled through the Cash-Released XChange execution. Please continue to deliver ULDD Data Point Investor Feature Identifier (IFI) “J22” for loan delivery and pricing. We’ll notify you when the Remote Online Notarization Indicator is ready to be used with Cash-Released XChange.
Reminder: Pricing and Committing APIs Offer Efficiency
Looking for ways to get pricing information and execute contracts more efficiently? We’ve got application programming interfaces (APIs) for that. Effective July 25, you can visit the Developer Portal public pages to find out more about how our Pricing and Committing APIs can benefit Sellers, lenders, and secondary market advisors (SMAs). Highlights include:
- Cash Pricing
Cash Pricing provides users with integrated technology (direct or via software partners) to access cash pricing information and eliminate manually retrieving information from Loan Selling Advisor. - Cash Committing
Cash Committing allows users to execute and modify mandatory cash contracts, eliminating the need for manual processes in Loan Selling Advisor. - Guarantor Pricing
Guarantor Pricing makes it easier to use integrated technology (direct or via software partners) to access guarantor pricing information and eliminate manually retrieving information from Loan Selling Advisor. - Guarantor Committing
Guarantor Committing simplifies the use of integrated technology (direct or via software partners) for approved Sellers, SMAs and other software partners. Guarantor Committing executes and modifies optional guarantor contracts eliminating the need for manual processes in Loan Selling Advisor.
Guarantor Pricing API: New Apigee Dynamic Routing Capabilities
Effective May 31, we enhanced the Guarantor Pricing API to give users a better experience, faster response time, more reliability and more system up time. If you need to make an adjustment to your system, Freddie Mac implemented a 60-day adoption period that runs through July 31.
Income Limits API Update
Income Limits API has been updated to include new request and response fields. The Income Limits API now provides the estimated poverty percentage to help identify borrowers residing in underserved markets. In addition, a few new fields have been added in support of the Mission Index. Users can start integrating these fields now to ensure a seamless transition when the Mission Indication score is made available through the Income Limits API.
The updated API is fully backward compatible and won’t require further technical changes once implemented. Users have the flexibility to choose which data containers they wish to include in their Income Limits API calls. For example, if users do not have the need for the Mission Indication Score, they don’t need to include those fields in the request file. Or if they don’t want to receive income limits data, they can exclude those containers as well. When the Mission Index Score Indicator is set to “yes”, the users will receive Address Match Level for borrower’s current address, Borrower Exclusion Code and Estimated Poverty Percentage. Starting late August 2024, Income Limits API users can also receive the Mission Indication Score by responding to some additional data fields in the request file.
For more details, visit the Developer Portal.
TLTV/HTLTV for Condominiums with Streamlined Reviews – Updated Effective Date
We previously announced that effective July 29, critical edits would be implemented in Loan Selling Advisor to enforce the total loan-to-value (TLTV) and Home Equity Line of Credit total loan-to-value (HTLTV) requirements for Condominium Unit Mortgages with a streamlined project review as outlined in Single-Family Seller/Servicer Guide Section 5701.4, Streamlined reviews. Today, we are informing you that the critical edits will be effective July 31.
Credit Fee Cap Pricing Pipeline Coverage for 2024 AMI Limits Ending Soon - Reminder
On May 23, 2024, Bulletin 2024-D announced pricing pipeline coverage for certain credit fee caps for loans where the mortgaged premises is located in an area where the 2024 area median income (AMI) limit is lower than the 2023 AMI limit. All mortgages eligible for this pricing pipeline coverage must have a settlement date on or before July 31.
Read our June 6 Single-Family News Article for additional loan delivery and Post-Fund Data Correction details.
COMING SOON
Cash-Specified Payups for Mission Index Score
In August 2024, Freddie Mac will introduce a new capability for you to select a Mission Index Cash Specified Pool Type and potentially receive a payup on these types of mortgages. The Cash Pricing and Committing APIs as well as the following screens in Loan Selling Advisor will be updated to include these Mission Index Scores:
- Request Cash Rate Sheet will let you select a Cash Specified Pool Type (CSPU) of Mission Index Score 2 or Mission Index Score 3.
- Take out Cash Contract will let you select a Cash Specified Pool Type of Mission Index Score 2 or Mission Index Score 3.
- The View/Modify/Evaluate Loan screen’s(s) Calculated Values section will display Mission Score.
By making Mission Index Scores available, you may benefit from additional best execution opportunities. You’ll be able to improve your best execution for cash and offer premium prices for loans with specified characteristics. In addition, you may improve your execution decisions regarding cash payups.
The Mission Score is determined in Loan Selling Advisor when the loan is saved in the system. The score is subject to change each time the loan is re-saved or evaluated. On August 12, 2024, for existing loans (pipeline loans) that have not been scored and will be allocated to an eligible cash-specified payup cash contract do this:
Access the loan via the View/Modify or Evaluate screen and either re-save or re-evaluate the loan before allocating it to the cash specified payup contract. The loan level Mission Score must match the contract level Mission Index Score. On August 12, 2024, be sure to check out the new Loan Selling Advisor Release Spotlight that will feature the system changes for the Mission Index Score.
Co-Issue XChange® Relationship Management
On August 14, 2024, Co-Issue XChange Relationship Management will be available in XChange Center℠. This will be a new way for Sellers (Transferors) and Servicers (Transferees) to contact each other to establish relationships. Sellers and Servicers will be able to view their existing relationships, and if their Servicer participates, the Seller can also view/download their Servicing-Released Premium (SRP) pricing. In addition, there is a new Co-Issue XChange SRP API for integrated Sellers and Secondary Market Advisors that wish to retrieve SRP pricing through a JSON format. You’ll be able to check out the new API in Developer Portal. Learn more at: [email protected]
Upcoming Maintenance for Freddie Mac Technology Tools
As part of our ongoing efforts to improve the resilience of the tools you rely on, Loan Selling Advisor, our Selling APIs and XChange CenterSM will undergo planned maintenance from 11:00 p.m. EST on Friday, August 2, 2024, through 7 p.m. EST on Sunday, August 4, 2024. During this time, all features of Loan Selling Advisor, our Selling APIs and XChange Center will not be available.
Please refer to our Technology System Status page for the most up-to-date information about the status of our technology tools. We encourage you to bookmark this page for future reference.
If you have any questions, contact your Freddie Mac representative or the Customer Support Contact Center (800-FREDDIE).
Training: Working with SMAs
Want to learn about working with Freddie Mac Integrated Secondary Market Advisors (SMAs)? Sign up for our free, live training, Working with Freddie Mac’s Secondary Market Advisor Partners. This 1-hour webinar provides Sellers with the benefits and tips for working with SMAs. You’ll learn about how SMAs partner with us, options to integrate, SMA platforms, APIs for all integration – Cash and Guarantor and more.
Check out our latest tutorials designed for new Loan Selling Advisor users:
Application Date Reasonableness Check
Effective August 29, a new critical edit will fire in Loan Selling Advisor if the Application Received Date (Sort ID 224) is more than two years before the current date.