The MPF Program Announces Updates and Clarifications to the MPF Traditional Selling Guide and Forms
Effective Date: Immediately
MPF Traditional Selling Guide Updates
Documentation Requirements- Age of Documents
The policy has been updated for Mortgage Loans secured by properties located in a Major Disaster Area, to reflect the underwriting documentation requirement, including credit reports and verifications of income and assets, must be dated no more than 180 days before the Note date. See MPF Traditional Selling Guide section 5.1.3. and section 7.15.
Modified the language to clarify the current policy for personal gifts, which is a gift letter is required for personal gifts unless, the gift is from a non- borrowing spouse / non-borrowing occupant who has resided with the Borrower for the last 12 months and intends to continue to reside with the Borrower. See MPF Traditional Selling Guide section 5.22.1.
The MPF Program has published the following:
Form OG1 – Instructions on How to Complete the OGI
Form OG2 – Instructions on How to Complete the OG2
To gain a full understanding of these topics, PFIs and Servicers should review the entire MPF Announcement plus any applicable MPF Traditional Selling and Servicing Guide chapters, forms, or exhibits noted in the announcement.
- MPF Announcement 2019-11