Freddie Mac Single-Family Seller/Servicer Guide Section 4201.1 — Investment Quality Mortgage
Freddie Mac Single-Family Seller/Servicer Guide Section 4201.1 — Investment Quality Mortgage.
Verbatim regulatory text
Verbatim provisions from Freddie Mac Single-Family Seller/Servicer Guide Section 4201.1 — Investment Quality Mortgage — each quote is a verified substring of the regulator-published source snapshot, not retyped. Quoted for reference; this is not legal advice. The operational layer (P&P updates, prompts) lives in the regulation update kits.
Freddie Mac Single-Family Seller/Servicer Guide Section 4201.1 — Investment Quality Mortgage
4201.1: Investment Quality Mortgage (04/02/25) An Investment Quality Mortgage is a Mortgage that is: ■ Made to a Borrower from whom repayment of the Mortgage can be expected ■ Adequately secured by real property, and ■ Originated in accordance with the requirements of the Purchase Documents The Seller warrants that: ■ All Mortgages sold to Freddie Mac have the characteristics of an Investment Quality Mortgage, and ■ ATR Covered Mortgages sold to Freddie Mac satisfy the QM requirements in the Revised General QM Rule 4201.2: Mortgage valid First Lien; no prior liens; Mortgage not modified (02/04/26) The Mortgage must be a valid First Lien on the Mortgaged Premises. The Mortgaged Premises must be free and clear of all prior liens and encumbrances, and no rights or condition may exist that could give rise to such liens, except for: ■ Liens for real estate taxes and special assessments not yet due and payable ■ Rights and conditions specified in Section 4702.4 related to acceptable exceptions to the title insurance policy or to the attorney’s opinion of title letter The Mortgage must be a legal, valid and binding obligation of the Borrower, enforceable according to its terms and conditions and free from any right of setoff, counterclaim or other claim or defense. No part of the Mortgaged Premises may have been released from the Mortgage. The terms of the Mortgage may not in any material manner have been modified, amended or in any way waived or changed, except as permitted by Freddie Mac for Mortgages eligible for sale as: Freddie Mac Single-Family Seller/Servicer Guide Chapter 4201 As of 03/04/26 Page 4201-2 ■ Construction to Permanent Mortgages or Renovation Mortgages with a modification agreement ■ Seller-Owned Converted Mortgages ■ Seller-Owned Modified Mortgages ■ Refinance Mortgages secured by property in New York State that are documented using a New York Consolidation, Modification and Extension Agreement