Freddie Mac Single-Family Seller/Servicer Guide 6302.18 — Special delivery requirements for subsidy buydown Mortgages

Freddie Mac Single-Family Seller/Servicer Guide 6302.18 — Special delivery requirements for subsidy buydown Mortgages

Effective 2025-10-01 · Freddie Mac's stamp for this section

■ General requirements ■ Data delivery instructions ■ Pooling requirements for UMBS®, MBS and WAC ARM PCs (a) General requirements See Section 4204.3 for special eligibility requirements for Mortgages with temporary subsidy buydowns. See Section 4501.2 for eligibility requirements for Home Possible® Mortgages with temporary subsidy buydowns. See Section 6302.26 for data requirements for loans with temporary subsidy buydowns sold through Cash-Released XChange®. (b) Data delivery instructions For Mortgages with temporary subsidy buydowns (including Seller-Owned Modified Mortgages), the Seller must deliver the following ULDD Data Points: Data Required for Subsidy Buydown Mortgages Sort ID ULDD Data Point Valid Value Notes LOAN – Closing and LOAN – Modification → Note Details 321 Note Rate Percent Enter the interest rate shown on the Note (without reference to the temporary buydown subsidy). 268 Initial Principal and Interest Payment Amount Enter the monthly payment shown on the Note (without reference to the temporary buydown subsidy). → Temporary Buydown Details 228 Buydown Temporary Subsidy Indicator true 145/146 Buydown Contributor Type/Buydown Contributor Type Other Description ▪ Borrower ▪ Lender ▪ Other – Interested Third Party Enter “Other-Interested Third Party” if the contributor is an Interested Party as described in the Guide. Enter “Borrower” for all other temporary buydown contributors. 147 Buydown Change Frequency Months Count Enter the number of months between each Note Rate increase during the buydown period. 148 Buydown Duration Months Count Enter the total number of months during which any buydown is in effect. 149 Buydown Increase Rate Percent Enter the percent by which the Note Rate can increase at each adjustment period. 150 Buydown Initial Discount Percent For non-modified Mortgages, enter the percent by which the Note Rate was bought down effective as of the Note Date. For Seller-Owned Modified Mortgages, enter the percent by which the Note Rate was bought down as of the modification date. → Additional Underwriting Details 292 Total Monthly Proposed Housing Expense Amount Enter the monthly housing expense calculated using the Mortgage Data Required for Subsidy Buydown Mortgages Sort ID ULDD Data Point Valid Value Notes LOAN – Closing and LOAN – Modification → Note Details payment the Borrower is making at the time the Seller delivers the Mortgage. Round to the nearest dollar. 290 Total Liabilities Monthly Payment Amount Enter the monthly debt payment calculated using the monthly housing expense determined using the Mortgage payment the Borrower is making at the time the Seller delivers the Mortgage. Round to the nearest dollar. (c) Pooling requirements for UMBS, MBS and WAC ARM PCs Refer to Section 6202.3 for pooling requirements for fixed-rate Mortgages with Extended Buydowns under the fixed-rate Guarantor or MultiLender Swap programs. Refer to Section 6202.4 for pooling requirements for ARMs with Extended Buydowns under the WAC ARM Guarantor program.

Source: Freddie Mac Single-Family Seller/Servicer Guide 6302.18 — Special delivery requirements for subsidy buydown Mortgages · source URL · snapshot 4c94f67729042dd6