Fannie Mae updates Single-Family Lender Letter 2020-03 regarding impact of Covid-19 on originations
On May 5, Fannie Mae issued updates to Lender Letter 2020-03. The letter is addressed to all Fannie Mae single-family sellers, and addresses the impact of Covid-19 on originations. Among other things, Fannie Mae extended temporary origination-related policies to June 30, 2020, reminded lenders of policies regarding the use of unemployment benefits as qualifying income, and clarified policies surrounding furloughed borrowers. Fannie Mae also updated guidance regarding age of documentation, verification of self-employment, market-based assets, powers of attorney, remote online notarization, and verbal verification of employment.