Fannie Mae Further Extends COVID-19 Policies Related to Origination and Appraisals

Fannie Mae recently updated Lender Letters LL-2021-03 and LL-2021-04, further extending temporary policies related to the impact of COVID-19 on Originations and Appraisals, respectively.  These policies were initially published in March 2020 and have been updated several times since.

LL-2021-03 extends the application dates for verbal verifications of employment and power of attorney flexibilities to April 30, 2021.  The letter notes that this will be the final extension for these temporary policies; applications dated May 1, 2021 and later will be subject to standard Selling Guide policies.

LL-2021-04 extends the application dates eligible for certain temporary flexibilities permitting either a desktop appraisal or an exterior-only inspection appraisal in lieu of a traditional appraisal to April 30, 2021.  The letter further notes that temporary policies related to condominium project reviews and certain renovation loans will not be extended beyond April 30, 2021.

WBK wrote about the February 2021 updates here.