Ginnie Mae issued All Participant Memorandum APM 17-06 (APM), announcing revised seasoning requirements for refinance loans. Per the APM, the first payment due date of a streamlined refinance or a cash-out refinance loan must be at least 210 days after the first payment due date of the initial loan. Streamlined refinance or cash-out refinance loans that do not meet this requirement may not be pooled into Ginnie Mae I Single Issuer Pools or Ginnie Mae II Multiple Issuer Pools. However, the refinance loans are eligible for Ginnie Mae II Custom Pools if the loans otherwise comply with Ginnie Mae II Custom Pooling parameters.
Rate and term refinance loans are not subject to this pooling restriction if: the corresponding housing agency (FHA, VA, RD and PIH) has implemented a fully underwritten rate and term refinance loan program specifying any attendant seasoning, loan performance, maximum LTV, full documentation and full appraisal requirements; and the refinance loan meets all the housing agency requirements. The revised seasoning requirements are effective with pool issuances on or after April 1, 2018.
Click here to view the Ginnie Mae All Participant Memorandum 17-06
