Fannie Mae issued Lender Letter LL-2016-06 (Lender Letter), introducing a new mortgage loan modification program. The Fannie Mae Flex Modification combines features of Fannie Mae’s HAMP, Standard and Streamlined Modifications, and is intended to replace Fannie Mae’s current Standard and Streamlined Modification programs. The Fannie Mae Flex Modification can be applied to all mortgage loan delinquencies, and to mortgage loans that are determined to be in imminent default (in accordance with the Servicing Guide). Lenders and servicers are encouraged to implement the policies in the Lender Letter as early as March 1, 2017. However, lenders and servicers must begin evaluating borrowers for the Fannie Mae Flex Modification no later than October 1, 2017.
Click here to view the Fannie Mae Lender Letter
