MPF Announcement 2022-28

MPF Government MBS Delinquent Loan Buyout Requirements

Effective Date: Immediately (unless otherwise noted)

The Investor for the MPF Government MBS Product, Ginnie Mae recently published APM 22-03: Delinquent Loan Buyout Requirements, reiterating the longstanding requirements regarding the treatment of loan modifications and delinquent loan buyout requirements. Servicers are reminded of the requirements published in APM 22-03 and the MPF Government MBS Guides.

Repurchasing Delinquent MPF Government MBS Loans

As a reminder, Servicers may request a repurchase on any MPF Government MBS Mortgage Loan for the following circumstances:

• Where no payment is made for three (3) consecutive months, or
• The mortgage loan is subject to a trial modification period, the Servicer shall be permitted to repurchase the Mortgage Loan if the Borrower is approved for a trial modification and the Mortgage Loan is in a continuous period of default for ninety (90) days or more.

For more information see 8.5.2 Government MBS Mortgage Loan Modifications and 8.2 Delinquent Government MBS Loans.

Prohibition against modifying loans while in Ginnie Mae MBS Pools

Servicers are prohibited from modifying the terms of loans held in Ginnie Mae pools that affect the amount or duration of loan payments.

For additional information, see 8.5.2 Government MBS Mortgage Loan Modifications.