Freddie Mac issued Bulletin 2021-38 (Bulletin) establishing temporary review requirements for certain condominium and cooperative share projects. Per the Bulletin, Freddie Mac established temporary project review requirements for condominium and cooperative share projects in need of critical repairs and projects with special assessments. The temporary requirements apply to all mortgages secured by units in projects with 5 or more attached units, regardless of the project review type or if the mortgage is eligible to be delivered as “exempt from review”. The temporary requirements are in addition to, and do not supersede, any of the current applicable Seller/Servicer Guide requirements. The Seller/Servicer Guide will not be updated to reflect the temporary requirements. In addition, Freddie Mac reorganized Guide Topic 5600 (Property Eligibility and Appraisal Requirements). The purpose of the reorganization is to reduce and/or eliminate redundancies, updated titles and headings for efficiency and create new chapters that organize categories of related content and requirements. No requirements are changing as part of the reorganization. Revisions related to review requirements for condominium and cooperative share projects are effective for mortgages with settlement dates on or after February 28, 2022. The reorganization of Guide Topic 5600 is effective March 31, 2022.
Click to view the Freddie Mac Guide Bulletin 2021-38: https://www.tenaco.com/wp-content/uploads/2021/12/Freddie-Mac-Guide-Bulletin-2021-38-12-15-21.pdf
