New and Upcoming Changes to Loan Selling Advisor®
Now Live in Loan Selling Advisor
SOFR-Indexed ARMs Now Eligible for Purchase
Nonconvertible Secured Overnight Financing Rate (SOFR)-indexed adjustable-rate mortgages (ARMs) are now eligible for purchase by Freddie Mac under the ARM cash and weighted average coupon (WAC) ARM guarantor programs.
Check out the following Freddie Mac Learning tools for assistance:
New Cash Extension and Pairoff Fee Details Data Set
You can now select a new standard dataset called Cash Extension & Pairoff Fee Details to export the following contract attributes (including up to 10 of the most recent occurrences of the extension fee attributes, and two pairoff attributes):
- Total Extension Fee Amount
- Extension Assessed Date and Time
- Extension Period
- Extension Fee Amount
- Total Pairoff Fee Amount
- Pairoff Amount
With this new data set, you can now export these extension fee and pairoff fee details without creating a customized dataset. You can also create a new, or modify an existing, customized dataset using the new attributes.
Cash Loan Purchase Statement Enhancement
The loan purchase statement now includes two real-time funding timestamps, AM and PM, that correspond with the two available daily fundings. You can view, print or save your purchase statements by accessing the View Settlement Statements functionality.
Coming Soon to Loan Selling Advisor
Enhanced Cash Extension & Pairoff Fee Details Data Set
On December 7, 2020, you’ll see additional changes to the Cash Extension and Pairoff Fee Details Data Set, providing up to five occurrences of the following three new pairoff attributes:
- Pairoff Assessed Date Time
- Pairoff Contract Amount
- Pairoff Fee Amount
With the enhancements coming this December, the Implementation Guide for Loan Selling Advisor Export (Phase 3) will be updated to include this new dataset.
Number of Allowable Cash Extensions Is Increasing
Currently, you are able extend a cash contract in Loan Selling Advisor up to four times, as long as the total extension period does not exceed 30 days from the original contract expiration date.
Effective December 7, 2020, we are enhancing this capability to allow for unlimited contract extensions as long as the total extension period does not exceed 30 days from the original contract expiration date.
Contact the Freddie Mac cash desk or your Freddie Mac representative for more information.
LIBOR-index ARMs Are Retiring Soon
As a reminder, Freddie Mac will not purchase any London Interbank Offered Rate (LIBOR) -indexed ARM with an application received date on or after October 1, 2020. We recommend that you clear your LIBOR ARM Cash contract pipeline prior to January 1, 2021, as Freddie Mac will no longer purchase LIBOR-indexed ARMs on and after January 1, 2021, regardless of the application received date or note date.
Effective January 1, 2021, pricing requests for LIBOR and other retired cash contract products will no longer be available via the Request Freddie Mac cash price sheet process.