Freddie Mac Single-Family Seller/Servicer Guide 5103.4 — Homeownership education

Freddie Mac Single-Family Seller/Servicer Guide 5103.4 — Homeownership education

Effective 2026-02-04 · Freddie Mac's stamp for this section

This section contains information related to: ■ Mortgages that require homeownership education ■ Acceptable homeownership education providers and programs ■ Ineligible homeownership education providers ■ Documentation requirements for completion of homeownership education ■ Delivery requirements (a) Mortgages that require homeownership education In each of the following instances, at least one Borrower must participate in a homeownership education program before the Note Date, or the Effective Date of Permanent Financing for Construction to Permanent Mortgages and Renovation Mortgages: ■ Home Possible® purchase transaction Mortgages when all occupying Borrowers are FirstTime Homebuyers ■ HeritageOne® purchase transaction Mortgages when all occupying Borrowers are FirstTime Homebuyers ■ HomeOne® purchase transaction Mortgages when all Borrowers are First-Time Homebuyers; or ■ Any transaction when the credit reputation for all Borrowers is established using only Noncredit Payment References (b) Acceptable homeownership education providers and programs Programs provided by any of the following are acceptable: ■ Freddie Mac’s free homeownership education curriculum, CreditSmart® Homebuyer U ■ Mortgage insurance companies ■ HUD-approved counseling agencies ■ Housing finance agencies ■ Community development financial institutions (CDFI) ■ Programs that meet the standards of the National Industry Standards for Homeownership Education and Counseling (www.homeownershipstandards.org) (c) Ineligible homeownership education providers Homeownership education must not be provided by an interested party to the transaction, the originating lender or the Seller. Exception: For HeritageOne Mortgages, homeownership education may be provided by a Native CDFI, even if the Native CDFI is the originating lender and/or the Seller (see Section 4504.5). (d) Documentation requirements for completion of homeownership education To document completion of a homeownership education program, if required under Section 5103.4(a), one of the following must be retained in the Mortgage file: ■ A copy of Exhibit 20, Homeownership Education Certification ■ Another document (e.g., CreditSmart Homebuyer U certificate of completion) containing comparable information Additionally, as part of the Mortgage application process, Form 1103, Supplemental Consumer Information Form, must be presented to at least one Borrower on the loan application. The “Homeownership Education and Housing Counseling” section of the form should be completed for any transaction where homeownership education is required. (e) Delivery requirements Refer to the following delivery requirements when homeownership education is required: Delivery requirements when homeownership education is required Mortgage products/characteristics Guide location Home Possible Mortgages when all occupying Borrowers are First-Time Homebuyers Section 6302.14 Delivery requirements when homeownership education is required Mortgage products/characteristics Guide location HeritageOne Mortgages when all occupying Borrowers are FirstTime Homebuyers Section 6302.50 HomeOne Mortgages when all Borrowers are First-Time Homebuyers Section 6302.41 Any transaction when the credit reputation for all Borrowers is established using only Noncredit Payment References Section 6302.9(b)(ii)

Source: Freddie Mac Single-Family Seller/Servicer Guide 5103.4 — Homeownership education · source URL · snapshot 4c94f67729042dd6