RHS issued a SFH Guaranteed Servicing Notice (Notice), updating Loss Mitigation by enhancing USDA Lender Interactive Network Connection (LINC) with 2 new Loss Mitigation Servicing Plans to align with the Final Rule for Special Servicing Options for Non-Performing Loans which was effective on April 14, 2025. The 2 new Loss Mitigation Servicing Plans are as follows:
- Modification MRA Servicing Plan Type which replaces the Special Servicing Mod/MRA Servicing Plan Type; and
- Final Offer Servicing Plan Type which should be utilized as a foreclosure alternative, when all servicing options have been thoroughly exhausted and a completed application for Loss Mitigation has not been received.
In addition, Loss Claims was updated by revising the Maximum Property Preservation Allowances fee schedule and the USDA Individual State Based Bidding Chart.
The 2 new Servicing Plan Types are available for use and should be utilized when the loan’s last paid installment is on or after May 1, 2025. Revisions related to the updated fee schedule for Maximum Property Preservation Allowances was effective with preservation actions completed on or after October 1, 2025. Revisions related to the updating of the USDA Individual State Based Bidding Chart are effective May 15, 2026.
Click to view the RHS SFH Guaranteed Servicing Notice: https://www.tenaco.com/wp-content/uploads/2026/03/RHS-SFH-Guaranteed-Servicing-Notice-02-23-26.pdf
