Underwriting

Requirements

You must ensure that no LenderLenderPerson Fannie Mae approved to sell or service Mortgage Loans. employee or other person involved in Conflict Mortgage Loan underwriting and approval owns any direct or indirect equity interest in the BorrowerBorrowerPerson who is the obligor per the Note. .

You must include the following in your Transaction Approval Memo:

• the amount of any direct or indirect equity interest in the BorrowerBorrowerPerson who is the obligor per the Note. owned by any Lender Senior ExecutiveLender Senior ExecutiveFor any Lender any:   a.  senior executive officer serving as its president, chief executive officer, chief financial officer, chief operating officer, chief production officer, chief underwriter, chief asset manager, chief legal officer, chief information security officer, chief compliance…, other LenderLenderPerson Fannie Mae approved to sell or service Mortgage Loans. employee or group of employees; and
• answers to the following questions, including an explanation if your answer to a question is yes:
  • Does any Lender Senior ExecutiveLender Senior ExecutiveFor any Lender any:   a.  senior executive officer serving as its president, chief executive officer, chief financial officer, chief operating officer, chief production officer, chief underwriter, chief asset manager, chief legal officer, chief information security officer, chief compliance…, other LenderLenderPerson Fannie Mae approved to sell or service Mortgage Loans. employee or group of employees, or any person who participated in the underwriting or approval of the Mortgage LoanMortgage LoanMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. , own any direct or indirect equity interest in the BorrowerBorrowerPerson who is the obligor per the Note. ?
  • Can any Lender Senior ExecutiveLender Senior ExecutiveFor any Lender any:   a.  senior executive officer serving as its president, chief executive officer, chief financial officer, chief operating officer, chief production officer, chief underwriter, chief asset manager, chief legal officer, chief information security officer, chief compliance…, other LenderLenderPerson Fannie Mae approved to sell or service Mortgage Loans. employee or group of employees, or any person who participated in the underwriting or approval of the Mortgage LoanMortgage LoanMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. , require changes to the management, operations, or decision-making of the BorrowerBorrowerPerson who is the obligor per the Note. ?

In addition, your underwriting submission must include:

• copies of the Borrower'sBorrower'sPerson who is the obligor per the Note. organizational documents and financial statements;
• copies of all organizational documents and financial statements for any Lender AffiliateLender AffiliateOther Person or entity that Controls, is Controlled by, or is under common Control with, the Lender. that holds a direct or indirect equity ownership interest in the BorrowerBorrowerPerson who is the obligor per the Note. ; and
• an organizational chart or diagram showing
  • the complete ownership structure of the BorrowerBorrowerPerson who is the obligor per the Note. ,
  • the relationship among the LenderLenderPerson Fannie Mae approved to sell or service Mortgage Loans. , BorrowerBorrowerPerson who is the obligor per the Note. , and applicable Lender AffiliateLender AffiliateOther Person or entity that Controls, is Controlled by, or is under common Control with, the Lender. , and
  • the percentage ownership of each entity.