This Reverse Mortgage Loan Servicing Manual (Manual) incorporates all Fannie Mae servicing-related guidelines for reverse mortgage loans. While the Manual sets forth specific servicing requirements unique to reverse mortgage loans, servicers must continue to comply with servicing requirements in the Fannie Mae Single-Family Servicing Guide (Servicing Guide) for reverse mortgage loans to the extent such requirements are not in conflict with the provisions contained in the Manual. In the event that the Manual and the Servicing Guide are conflicting, the servicer must follow the requirements in the Servicing Guide. If Fannie Mae does not specifically address a particular servicing responsibility, Fannie Mae’s standard requirements apply for reverse mortgage loans.
This Manual covers the standard requirements for servicing reverse mortgage loans for one- to four-unit properties owned or securitized by Fannie Mae. On behalf of Fannie Mae, servicers are servicing two reverse mortgage loan products: conventional Home KeeperTM mortgage loans and FHA HECM loans.
For HECM loans, the servicer must follow all applicable requirements of the HECM program found in the Department of Housing and Urban Development (HUD) Handbook 4235.1 REV-1: Home Equity Conversion Mortgages, Handbook 4330.1 REV-5: Administration of Insured Home Mortgages, all related HUD Mortgagee Letters, and all other guidance provided by HUD. This Manual includes requirements for HECMs that Fannie Mae imposes as a result of its purchase and securitization of those mortgage loans and is not intended to contradict HUD’s requirements. In the event that this Manual and guidance provided by HUD are conflicting, the servicer must follow HUD’s requirements.
In addition, special rules apply in Texas for both HECMs and Home Keeper mortgage loans as noted in Fannie Mae Lender Letters and HUD Mortgagee Letters. Information on how to service these reverse mortgage loans may be obtained through the servicer’s Servicing Representative or on Fannie Mae’s website.
This Manual is organized into chapters that reflect how servicers generally categorize various aspects of their business relationship with Fannie Mae:
- Chapter 1: Reverse Mortgage Loan Products
- Chapter 2: Doing Reverse Mortgage Loan Business with Fannie Mae
- Chapter 3: General Servicing Requirements
- Chapter 4: Assisting Borrowers At Risk of Default or In Default
- Chapter 5: Processing Claims and Managing Acquired Properties
- Chapter 6: Reporting through eBoutique
- Chapter 7: Quick Reference Materials
Chapters 1 through 6 are structured hierarchically to state Fannie Mae’s requirements logically and with increasing levels of detail, so that readers can quickly locate a subject of interest and find desired content. Chapter 7 includes a variety of support components, including the Glossary and Table of Acronyms.
To learn more about the details on the content included in a chapter, see Table of Contents.
The Manual is available on AllRegs and in Adobe® PDF format on Fannie Mae’s website. Related Announcements, Lender Letters, and Notices may be obtained through a variety of mediums, including
- using a free electronic version on the AllRegs website through a link from Fannie Mae’s website;
- a subscription paid directly to AllRegs for an enhanced electronic version with additional features and a higher degree of functionality (than the free version); and
- in PDF format on Fannie Mae’s website.
Amendments to the Manual
Fannie Mae may at any time alter or waive any of the requirements of this Manual, impose other additional requirements, or rescind or amend any and all material set forth in this Manual. The servicer must ensure that its staff is thoroughly familiar with the content and requirements of the Manual as it now exists and as it may be changed.
Notification of Changes and Manual Updates
Fannie Mae notifies servicers of changes and updates to its Manual policies and procedures, as communicated in Announcements, Lender Letters, and Notices, in two ways:
- posting the documents on Fannie Mae’s website and the AllRegs website, and
- e-mail notification of those postings to servicers that subscribe to Fannie Mae’s e-mail subscription service and select the option “Servicing News.”
Forms, Exhibits, and Content Incorporated by Reference
The Manual provides information about the specific forms servicers must use to fulfill Fannie Mae’s requirements. Servicers can access the actual forms on Fannie Mae’s website.
Some materials are only referenced in the Manual and are posted in their entirety on Fannie Mae’s website. Fannie Mae also periodically issues reverse mortgage loan-specific guidance, which is incorporated into the Manual by reference. Such specific guidance—whether it currently exists or is subsequently created is legally a part of the Manual.
In the event of technical difficulties or system failures with FannieMae.com, the delivery of the “Servicing News” option of Fannie Mae’s e-mail subscription service, or the AllRegs website, users may contact the following resources:
For Fannie Mae’s website and Fannie Mae’s e-mail subscription service, use the “Contact Us” link on the website to ask questions or obtain more information or contact Fannie Mae’s Single-Family Technology Support at 1-800-2FANNIE (1-800-232-6643).
For the AllRegs website, submit an e-mail support request from the website or contact AllRegs Customer Service at 1-800-848-4904.
When Questions Arise
The Manual provides information about normal and routine reverse mortgage loan servicing matters. Servicers must address questions relevant to a particular situation not covered in the Manual to their Servicing Representative.