Homeownership Programs eNews
April 1, 2020
[ The latest news for Minnesota Housing homeownership lender partners ]
SUSPENDED: Fannie Mae Preferred Risk Sharing Product
Fannie Mae announced that they will discontinue the HFA Preferred Risk Sharing™ product for the time being.
Effective April 1, 2020:
  • The Preferred Risk Sharing product will not be available for new locks in the loan commitment system.
  • Loans locked with other products can no longer switch to the Preferred Risk Sharing Product. 
Existing Preferred Risk Sharing Locks:
To meet Fannie Mae delivery requirements, all Preferred Risk Sharing loans need to be purchased by U.S. Bank Home Mortgage–HFA Division by May 25, 2020. Please contact the Partner Solutions Team if you need to discuss options for transactions that cannot meet this deadline.
Why is the Preferred Risk Sharing product discontinued for the time being? 
  • Fannie Mae acquires Preferred Risk Sharing loans with recourse (i.e., 12 month repurchase agreement in lieu of mortgage insurance) under an FHFA directive that requires them to transfer risk on these loans.
  • Due to market conditions, Fannie Mae cannot guarantee that it can secure the required coverage after July 1, 2020.
New Rate Lock Cutoff Hours
Effective Friday, April 10, our rate lock hours are changing.
Loans can be locked:
  • Monday - Thursday from 10:00 a.m. to 8:00 p.m.
  • Friday from 10:00 a.m. to 5:00 p.m.
Loans cannot be locked:
  • From 8:00 p.m. Monday - Thursday until rates are posted by 10:00 a.m. the following business day
  • From 5:00 p.m. Friday until rates are posted by 10:00 a.m. the following business day
  • From 5:00 p.m. on the weekday before an Agency holiday until rates are posted by 10:00 a.m. the following business day
Our Rate, Lock, and SRP Guide will be updated next week to reflect the rate lock hours change.
Post-Closing VVOE Clarification
U.S. Bank's post-closing VVOE policy remains unchanged. 
It continues to be the originating lender’s responsibility to ensure the verification of employment is completed prior to closing based on GSE guidelines. U.S. Bank will review the documentation provided by the lender as verification, as always.
U.S. Bank has always performed QC post purchase audits and will continue to do so. There may be times that a post purchase VVOE is completed during the quality review process, which is a random sample of loans. 
Reminder: Register for Critical Lender Update
Register for an upcoming Critical Lender Update to hear more from Minnesota Housing about our current operations, recent changes, and updates to our forms requirements.
Thursday, April 2, 11:00 a.m. - 12:00 p.m.
Register Here
Monthly Minnesota Housing Update & Underwriter Call
Join us monthly to review recent Minnesota Housing updates and important information to help you originate and process our loans. Click here to register for the monthly calls.

When you register, you will be signed up for all sessions but can attend the sessions that work for you. All calls occur on the second Thursday of the month from 9:00-10:00 a.m. CST. Next sessions are:
  • Thursday, April 9
  • Thursday, May 14
  • Thursday, June 11
eLearning and Recorded Trainings
Check out our quick, on-demand eLearning courses:
  • Intro to Minnesota Housing (10 minutes)
  • Start Up Eligibility Basics (10 minutes)
  • Start Up Income Training (25 minutes)
  • Start Up Forms (20 minutes)
  • Downpayment and Closing Cost Loans (10 minutes)
  • Post-closing (10 minutes)
  • Step Up Overview (10 minutes)
View the instructions to create an eLearning account to access these on-demand trainings. If you already created an account, view your training record and take the course.
Recorded Webinars (on-demand):
Enter your information, click on "Register" and the webinar will begin.
Questions?
You can reach the Partner Solutions Team at 651.296.8215 or 800.710.8871 between 8:00 a.m. and 5:00 p.m. on business days.
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