Fannie Mae issued Servicing Guide Announcement SVC-2026-05 (Announcement), setting forth updates to the Servicing Guide. Per the Announcement, Fannie Mae updated the Servicing Guide to include the incorporation of Lender Letter LL-2026-03 (Updates to Project Standards & Property Insurance Requirements) with the related property insurance requirements specific to servicers only. Also, minor edits were made to align property insurance requirements for renovation mortgage loans and second lien mortgage loans with these updates. In addition, to improve clarity and flow when incorporating these policy updates, some content in Chapter B-2 (Property Insurance Requirements) has been reorganized. With respect to the changes in Lender Letter LL-2026-03, servicers are encouraged to implement these changes immediately but must do so by January 1, 2027. The additional minor edits are effective immediately.

Click to view the Fannie Mae Servicing Guide Announcement SVC-2026-05: https://www.tenaco.com/wp-content/uploads/2026/08/Fannie-Mae-Servicing-Guide-Announcement-SVC-2026-05-08-12-26.pdf