Freddie Mac has updated its seller/servicer guide to revise certain refinance mortgage eligibility and underwriting requirements.
Beginning with refinance mortgages with settlement dates on or after May 1, Freddie Mac is requiring verification of funds for all refinance mortgages and eliminating its streamlined refinance mortgages.
Freddie Mac will also begin requiring that a purchase money mortgage be seasoned for 120 days in order to be refinanced as a "no cash-out" refinance mortgage.Â
Click here to view the bulletin.
SOURCE: Freddie Mac