Chapter 6

Structured Transactions

Section 601

Registration

Requirements

Using your Negotiated Seller NumberNegotiated Seller NumberNumber assigned by Fannie Mae identifying the Person currently servicing a Structured Transaction., you must register each Structured Transaction in DUS GatewayDUS GatewayMultifamily pre-acquisition system, or any successor systems, recording deal registration, Pre-Review and/or waiver tracking, Mortgage Loan Commitments, and decision records..

For DeliveryDeliverySubmission of all correct, accurate, and certifiable documents, data, and information with all applicable documents properly completed, executed, and recorded as needed, and any deficiencies resolved to Fannie Mae’s satisfaction. of a Structured Transaction, you must use

  • DUS DeliverDUS DeliverMultifamily acquisition system used, for Mortgage Loans in a Credit Facility, to submit Mortgage Loan and Property data for: Delivery and securitization; and after the Mortgage Loan Origination Date, any collateral release or substitution, future advance or conversion, or other… per the DUS Deliver Credit Facility Job Aid, and
  • MSFMSMSFMSMultifamily Structured Facilities Management System used, for Mortgage Loans in a Bulk Delivery, to submit Mortgage Loan and Property data for: Delivery and securitization; and any Property substitution occurring after the Mortgage Loan Origination Date. per the MSFMS Job Aid for a Bulk DeliveryBulk DeliveryStructured Transaction governed by a Bulk Delivery Agreement that allows future: Mortgage Loan additions; and/or Property substitutions..
Section 602

Approval
602.01

Approval Documents

Operating Procedures

Fannie Mae will issue a Structured Transaction ApprovalStructured Transaction ApprovalFannie Mae approval of a Structured Transaction outlining the terms, conditions, pricing, and fees. outlining the terms and conditions governing the Structured Transaction including pricing and certain fees.

602.02

Expiration Dates

Operating Procedures

You must contact the Fannie Mae Deal TeamFannie Mae Deal TeamTeam responsible for reviewing Pre-Review Mortgage Loans, waivers, etc. to modify any expiration date in the Structured Transaction ApprovalStructured Transaction ApprovalFannie Mae approval of a Structured Transaction outlining the terms, conditions, pricing, and fees..

602.03

Fees

Operating Procedures

The Structured Transaction ApprovalStructured Transaction ApprovalFannie Mae approval of a Structured Transaction outlining the terms, conditions, pricing, and fees. outlines all fees and payment due dates. 

By each payment due date you must

  • wire the fee to Fannie Mae, or
  • have it drafted, if instructed by Fannie Mae.
602.04

Loan Documents

Operating Procedures

The Fannie Mae Deal TeamFannie Mae Deal TeamTeam responsible for reviewing Pre-Review Mortgage Loans, waivers, etc. will give you the name and contact information for your assigned internal and outside counsel.

Fannie Mae’s outside counsel will prepare all Structured Transaction Loan DocumentsStructured Transaction Loan DocumentsDocuments executed for a Structured Transaction, including a Master Credit Facility or Bulk Delivery Agreement, an Interest Rate Hedge Agreement, and all other required Loan Documents..

Section 603

Rate Lock and Commitment
603.01

Generally

Requirements

You must certify that all data submitted is accurate and fairly represents the terms of

  • the Mortgage LoansMortgage LoansMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. for the requested CommitmentsCommitmentsContractual agreement between you and Fannie Mae where Fannie Mae agrees to buy a Mortgage Loan at a future date in exchange for an MBS, or at a specific price for a Cash Mortgage Loan, and you agree to Deliver that Mortgage Loan., and
  • any associated MBSMBSMortgage-Backed Security.

Operating Procedures

You must:

603.02

MBS Mortgage Loans

Requirements

You must ensure the DUS Gateway “Authorization to Close” status is “Authorized” before originating any MBS Mortgage LoanMBS Mortgage LoanMortgage Loan purchased by Fannie Mae in exchange for an issued MBS backed by the Mortgage Loan.:

  • constituting a Credit Facility'sCredit Facility'sStructured Transaction governed by a Master Credit Facility Agreement requiring Mortgage Loans and Properties to be cross-defaulted, and cross-collateralized.
    • initial advance,
    • addition, or
    • borrow up;
  • refinancing a Portfolio Mortgage LoanPortfolio Mortgage LoanMortgage Loan purchased by Fannie Mae and held as of a certain date regardless of whether it is a Cash Mortgage Loan or an MBS Mortgage Loan. in the Credit FacilityCredit FacilityStructured Transaction governed by a Master Credit Facility Agreement requiring Mortgage Loans and Properties to be cross-defaulted, and cross-collateralized.; 
  • converting all or any part of a variable rate 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. in the Credit FacilityCredit FacilityStructured Transaction governed by a Master Credit Facility Agreement requiring Mortgage Loans and Properties to be cross-defaulted, and cross-collateralized. to a fixed rate 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.; or
  • substitution advance.

Operating Procedures

For MBS Mortgage LoansMBS Mortgage LoansMortgage Loan purchased by Fannie Mae in exchange for an issued MBS backed by the Mortgage Loan. in a Credit FacilityCredit FacilityStructured Transaction governed by a Master Credit Facility Agreement requiring Mortgage Loans and Properties to be cross-defaulted, and cross-collateralized., you must:

  • comply with the
  • follow the DUS GatewayDUS GatewayMultifamily pre-acquisition system, or any successor systems, recording deal registration, Pre-Review and/or waiver tracking, Mortgage Loan Commitments, and decision records. process to
    • obtain a CommitmentCommitmentContractual agreement between you and Fannie Mae where Fannie Mae agrees to buy a Mortgage Loan at a future date in exchange for an MBS, or at a specific price for a Cash Mortgage Loan, and you agree to Deliver that Mortgage Loan., and
    • receive an Authorization to Close.
DUS Gateway Process
Steps You must... Multifamily Structured Acquisitions will...
1
  • Select the "Credit Facility Module".
  • Navigate to the "Rate Lock/Commitment" page.
  
2

Within 1 Business DayBusiness DayAny day other than a Saturday, Sunday, day when Fannie Mae is closed, day when the Federal Reserve Bank of New York is closed, or for any MBS and required remittance withdrawal, day when the Federal Reserve Bank is closed in the district where any of the MBS funds are held. after obtaining the Rate LockRate LockAgreement between you and the Investor containing the terms of the Lender-Arranged Sale or Multifamily Trading Desk trade of the Mortgage Loan and the MBS terms and conditions relating to the underlying MBS, if applicable, which may be documented via a recorded telephone conversation.: 

 

  • enter and save all Rate LockRate LockAgreement between you and the Investor containing the terms of the Lender-Arranged Sale or Multifamily Trading Desk trade of the Mortgage Loan and the MBS terms and conditions relating to the underlying MBS, if applicable, which may be documented via a recorded telephone conversation. data for each MBS Mortgage LoanMBS Mortgage LoanMortgage Loan purchased by Fannie Mae in exchange for an issued MBS backed by the Mortgage Loan. constituting
    • an initial advance,
    • an addition,
    • a borrow up,
    • a refinance of a Portfolio Mortgage LoanPortfolio Mortgage LoanMortgage Loan purchased by Fannie Mae and held as of a certain date regardless of whether it is a Cash Mortgage Loan or an MBS Mortgage Loan. in the Credit FacilityCredit FacilityStructured Transaction governed by a Master Credit Facility Agreement requiring Mortgage Loans and Properties to be cross-defaulted, and cross-collateralized., 
    • a conversion of a 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. in the Credit FacilityCredit FacilityStructured Transaction governed by a Master Credit Facility Agreement requiring Mortgage Loans and Properties to be cross-defaulted, and cross-collateralized. from variable rate to fixed rate, or
    • a substitution advance;
  • identify the applicable "Loan Option"; and
  • select "Log Rate Lock/Commitment".
 Set the "Rate Lock/Commitment" status for each 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. to "Draft".
3
  • Confirm all Rate LockRate LockAgreement between you and the Investor containing the terms of the Lender-Arranged Sale or Multifamily Trading Desk trade of the Mortgage Loan and the MBS terms and conditions relating to the underlying MBS, if applicable, which may be documented via a recorded telephone conversation. data was correctly entered for each MBS Mortgage LoanMBS Mortgage LoanMortgage Loan purchased by Fannie Mae in exchange for an issued MBS backed by the Mortgage Loan. constituting
    • an initial advance,
    • an addition,
    • a borrow up,
    • a refinance of a Portfolio Mortgage LoanPortfolio Mortgage LoanMortgage Loan purchased by Fannie Mae and held as of a certain date regardless of whether it is a Cash Mortgage Loan or an MBS Mortgage Loan. in the Credit FacilityCredit FacilityStructured Transaction governed by a Master Credit Facility Agreement requiring Mortgage Loans and Properties to be cross-defaulted, and cross-collateralized., 
    • a conversion of a 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. in the Credit FacilityCredit FacilityStructured Transaction governed by a Master Credit Facility Agreement requiring Mortgage Loans and Properties to be cross-defaulted, and cross-collateralized. from variable rate to fixed rate, or
    • a substitution advance.
  • Select "Finish Rate Lock/Commitment".
  • Change the "Rate Lock/Commitment" status for each 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. to:
    • "Accepted", if all validations pass; or
    • "Submitted for Review", if a review is required.
  • For all Mortgage LoansMortgage LoansMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. "Submitted for Review":
    • change the "Rate Lock/Commitment" status to:
      • "Accepted", if no further action is required; or
      • "Draft", if corrections are required; and
    • notify you via email to revise and resubmit any "Rate Lock/Commitment" with a "Draft" status.
4
  • Identify each "Rate Lock/Commitment" status as
    • "Accepted", or
    • "Draft".
  • Revise and resubmit any 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. "Rate Lock/Commitment" with a "Draft" status.
 Change the "Rate Lock/Commitment" status to "Accepted" after all validations pass.
5

On the "Final Underwriting" page, for each PropertyPropertyMultifamily residential real estate securing the Mortgage Loan, including the fee simple or Leasehold interest, Improvements, and personal property (per the Uniform Commercial Code)., either:

 

  • upload data for
    • underwriting,
    • underwritten value, and
    • income and expenses; or
  • manually enter the underwriting data.
  
6

On the "Credit Facility Checks" page for each MBS Mortgage LoanMBS Mortgage LoanMortgage Loan purchased by Fannie Mae in exchange for an issued MBS backed by the Mortgage Loan.:

 

  • of an initial advance:
    • enter the final "Mortgage Loan Amount";
    • by entering the final "Mortgage Loan Amount", you acknowledge it:
    • if the rate is variable, enter the:
      • "Final Fixed Rate Equivalent Interest Rate";
      • "Final Cap Cost Factor"; and
      • "Final Structured ARM Principal Payment"; and
    • run and submit the Credit Facility Checks to:
      • validate the submission; and
      • populate the Credit Facility Underwriting and Disclosure calculations.
  
6 (continued)
  • of any addition or borrow up:
    • enter the final "Mortgage Loan Amount";
    • by entering the final “Mortgage Loan Amount”, you acknowledge it:
    • if the rate is variable, enter the:
      • "Final Fixed Rate Equivalent Interest Rate";
      • "Final Cap Cost Factor"; and
      • "Final Structured ARM Principal Payment"; 
    • for a partial conversion of a variable rate 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. to a fixed rate 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., enter the:
      • "Final Cap Cost Factor";
      • "SARM T-12 Interest and Hedge Payment Amount"; and
      • "Actual Conversion Date";
    • if the only Portfolio Mortgage LoansPortfolio Mortgage LoansMortgage Loan purchased by Fannie Mae and held as of a certain date regardless of whether it is a Cash Mortgage Loan or an MBS Mortgage Loan. in the Credit FacilityCredit FacilityStructured Transaction governed by a Master Credit Facility Agreement requiring Mortgage Loans and Properties to be cross-defaulted, and cross-collateralized. are fixed rate, run and submit the Credit Facility Checks to:
      • validate the submission; and
      • populate the Credit Facility Underwriting and Disclosure calculations; and
    • for any outstanding SARM Loans in the Credit FacilityCredit FacilityStructured Transaction governed by a Master Credit Facility Agreement requiring Mortgage Loans and Properties to be cross-defaulted, and cross-collateralized.:
      • enter the “SARM T-12 Interest and Hedge Payment Amount”, and upload the Excel file;
      • enter the Final Cap Cost Factor;
      • re-run and submit the Credit Facility Checks; and 
      • receive Fannie Mae’s approval to “Generate” the “Authorization to Close”.
  
7

On the "Authorization to Close" page, for each MBS Mortgage LoanMBS Mortgage LoanMortgage Loan purchased by Fannie Mae in exchange for an issued MBS backed by the Mortgage Loan.:

 

  • select your Fannie Mae Seller Number from the dropdown menu;
  • select "Prepare Authorization to Close";
  • review the data;
  • check the "Lender Certification" box; and
  • select "Confirm Authorization to Close".
 Change the "Authorization to Close" status to "Authorized".

Guidance

Once the CommitmentCommitmentContractual agreement between you and Fannie Mae where Fannie Mae agrees to buy a Mortgage Loan at a future date in exchange for an MBS, or at a specific price for a Cash Mortgage Loan, and you agree to Deliver that Mortgage Loan. status is "Accepted", you may print a Commitment Confirmation.

Throughout the process, to resolve any data discrepancies or issues, you may use the Case Management function to request assistance from the

MBS Mortgage LoansMBS Mortgage LoansMortgage Loan purchased by Fannie Mae in exchange for an issued MBS backed by the Mortgage Loan. in a Bulk DeliveryBulk DeliveryStructured Transaction governed by a Bulk Delivery Agreement that allows future: Mortgage Loan additions; and/or Property substitutions. are managed in MSFMSMSFMSMultifamily Structured Facilities Management System used, for Mortgage Loans in a Bulk Delivery, to submit Mortgage Loan and Property data for: Delivery and securitization; and any Property substitution occurring after the Mortgage Loan Origination Date.; no CommitmentCommitmentContractual agreement between you and Fannie Mae where Fannie Mae agrees to buy a Mortgage Loan at a future date in exchange for an MBS, or at a specific price for a Cash Mortgage Loan, and you agree to Deliver that Mortgage Loan. is required.

603.03

Cash Mortgage Loans

Requirements

For Cash Mortgage LoansCash Mortgage LoansMortgage Loan purchased by Fannie Mae in exchange for cash. in a Credit FacilityCredit FacilityStructured Transaction governed by a Master Credit Facility Agreement requiring Mortgage Loans and Properties to be cross-defaulted, and cross-collateralized. or Bulk DeliveryBulk DeliveryStructured Transaction governed by a Bulk Delivery Agreement that allows future: Mortgage Loan additions; and/or Property substitutions., you must obtain a CommitmentCommitmentContractual agreement between you and Fannie Mae where Fannie Mae agrees to buy a Mortgage Loan at a future date in exchange for an MBS, or at a specific price for a Cash Mortgage Loan, and you agree to Deliver that Mortgage Loan. through C&DC&DElectronic committing and delivery system used for issuing and confirming Commitments for acquiring Mortgage Loans, or any such successor system. per Part IV, Chapter 2: Rate Lock and Committing, except for the following entries:

C&D Page Entry
Commitment
  • Select “Structured” as the “Delivery Channel Type”.
  • Enter the MSFMSMSFMSMultifamily Structured Facilities Management System used, for Mortgage Loans in a Bulk Delivery, to submit Mortgage Loan and Property data for: Delivery and securitization; and any Property substitution occurring after the Mortgage Loan Origination Date. Deal ID in the “Structured Facility Management Deal ID” field.
Participants
  • Enter at least 1 BorrowerBorrowerPerson who is the obligor per the Note. record.
  • Enter complete data for all deal participants separately in MSFMSMSFMSMultifamily Structured Facilities Management System used, for Mortgage Loans in a Bulk Delivery, to submit Mortgage Loan and Property data for: Delivery and securitization; and any Property substitution occurring after the Mortgage Loan Origination Date..
Collateral None; this information is entered in MSFMSMSFMSMultifamily Structured Facilities Management System used, for Mortgage Loans in a Bulk Delivery, to submit Mortgage Loan and Property data for: Delivery and securitization; and any Property substitution occurring after the Mortgage Loan Origination Date..
Section 604

Delivery
604.01

Delivery Process

Requirements

You must:

  • complete all steps in the Structured Transaction Delivery Process; and 
  • submit all required data and documents by 5:00 p.m. Eastern Time, no later than 10 Business DaysBusiness DaysAny day other than a Saturday, Sunday, day when Fannie Mae is closed, day when the Federal Reserve Bank of New York is closed, or for any MBS and required remittance withdrawal, day when the Federal Reserve Bank is closed in the district where any of the MBS funds are held. before (and not including) the
    • purchase date for a Cash Mortgage LoanCash Mortgage LoanMortgage Loan purchased by Fannie Mae in exchange for cash., or
    • Book-Entry DateBook-Entry DateDate a Security is delivered by Fannie Mae via the Federal Reserve book-entry system to the applicable Investor’s designated book-entry account at a depository institution. for an MBS Mortgage LoanMBS Mortgage LoanMortgage Loan purchased by Fannie Mae in exchange for an issued MBS backed by the Mortgage Loan..

Operating Procedures

Structured Transaction Delivery Process
For a... To Deliver the Mortgage Loan, you must…
Credit Facility MBS Mortgage Loan

 

Step 1:    Submit the Rate LockRate LockAgreement between you and the Investor containing the terms of the Lender-Arranged Sale or Multifamily Trading Desk trade of the Mortgage Loan and the MBS terms and conditions relating to the underlying MBS, if applicable, which may be documented via a recorded telephone conversation./CommitmentCommitmentContractual agreement between you and Fannie Mae where Fannie Mae agrees to buy a Mortgage Loan at a future date in exchange for an MBS, or at a specific price for a Cash Mortgage Loan, and you agree to Deliver that Mortgage Loan. and obtain Authorization to Close per Part IV, Chapter 6: Structured Transactions, Section 603.02: MBS Mortgage Loans.


Step 2:    Submit the Fees for approval.


Step 3:    Enter the Deal Participant, Collateral, Loan, Pool and/or Hedge Data.


Step 4:    Submit the Pool for securitization.


Step 5:    DeliverDeliverSubmission of all correct, accurate, and certifiable documents, data, and information with all applicable documents properly completed, executed, and recorded as needed, and any deficiencies resolved to Fannie Mae’s satisfaction. the Property and Underwriting Documents.
Credit Facility Cash Mortgage Loan
  • unless this Chapter specifies otherwise, comply with
  • submit the required data in C&DC&DElectronic committing and delivery system used for issuing and confirming Commitments for acquiring Mortgage Loans, or any such successor system.; and
  • use MSFMSMSFMSMultifamily Structured Facilities Management System used, for Mortgage Loans in a Bulk Delivery, to submit Mortgage Loan and Property data for: Delivery and securitization; and any Property substitution occurring after the Mortgage Loan Origination Date. to complete the: 
    • Collateral page, entering all data for the
      • PropertyPropertyMultifamily residential real estate securing the Mortgage Loan, including the fee simple or Leasehold interest, Improvements, and personal property (per the Uniform Commercial Code).,
      • underwriting, and
      • rent roll; and
  • “Hedge” page, entering all Interest Rate CapInterest Rate CapInterest rate agreement between the Borrower and a provider for which the Borrower receives payments at the end of each period when the interest rate exceeds the Cap Strike Rate.  The Interest Rate Cap provides a ceiling (or cap) on the Borrower's Mortgage Loan interest payments. data.
Bulk Delivery MBS Mortgage Loan
  • comply with the MSFMS Job Aid; and
  • complete all of the following applicable steps in this order:

 

Step 1:    Submit the Deal Participant and Collateral Data. 


Step 2:    DeliverDeliverSubmission of all correct, accurate, and certifiable documents, data, and information with all applicable documents properly completed, executed, and recorded as needed, and any deficiencies resolved to Fannie Mae’s satisfaction. the Property and Underwriting Documents.


Step 3:    Submit the SARM Loan Interest Rate Cap Data.


Step 4:    Submit the Pool and Mortgage Loan Data.


Step 5:    DeliverDeliverSubmission of all correct, accurate, and certifiable documents, data, and information with all applicable documents properly completed, executed, and recorded as needed, and any deficiencies resolved to Fannie Mae’s satisfaction. the executed Structured Transaction Loan DocumentsStructured Transaction Loan DocumentsDocuments executed for a Structured Transaction, including a Master Credit Facility or Bulk Delivery Agreement, an Interest Rate Hedge Agreement, and all other required Loan Documents..
Bulk Delivery Cash Mortgage Loan
  • unless this Chapter specifies otherwise, comply with
  • submit the required data in C&DC&DElectronic committing and delivery system used for issuing and confirming Commitments for acquiring Mortgage Loans, or any such successor system.; 
  • use MSFMSMSFMSMultifamily Structured Facilities Management System used, for Mortgage Loans in a Bulk Delivery, to submit Mortgage Loan and Property data for: Delivery and securitization; and any Property substitution occurring after the Mortgage Loan Origination Date. to complete the
    • Collateral page, entering all data for the
      • PropertyPropertyMultifamily residential real estate securing the Mortgage Loan, including the fee simple or Leasehold interest, Improvements, and personal property (per the Uniform Commercial Code).,
      • underwriting, and
      • rent roll; and
  • “Hedge” page, entering all Interest Rate CapInterest Rate CapInterest rate agreement between the Borrower and a provider for which the Borrower receives payments at the end of each period when the interest rate exceeds the Cap Strike Rate.  The Interest Rate Cap provides a ceiling (or cap) on the Borrower's Mortgage Loan interest payments. data.

Guidance

On the Book-Entry DateBook-Entry DateDate a Security is delivered by Fannie Mae via the Federal Reserve book-entry system to the applicable Investor’s designated book-entry account at a depository institution., Fannie Mae will electronically issue and deliver the MBSMBSMortgage-Backed Security through the Federal Reserve book-entry system using

604.02

MSFMS Data Errors

Operating Procedures

To address MSFMSMSFMSMultifamily Structured Facilities Management System used, for Mortgage Loans in a Bulk Delivery, to submit Mortgage Loan and Property data for: Delivery and securitization; and any Property substitution occurring after the Mortgage Loan Origination Date. errors:

Timing Action
Before Submission

If you believe

 

  • the data is correct, or
  • a message is related to information Fannie Mae approved,
    • select the “submit for review” system status, and
    • explain the issue.

 

Multifamily Structured AcquisitionsMultifamily Structured AcquisitionsTeam that can be contacted at [email protected]. will review the submission and will

 

  • override the error, or
  • return it to you to revise and resubmit with a “submitted” status.
After Submission

Email Multifamily Structured AcquisitionsMultifamily Structured AcquisitionsTeam that can be contacted at [email protected]. with the subject line “Deal Name – MSFMS Data Change Request,” if you

 

  • made an error, or
  • believe the data is incorrect after the MSFMSMSFMSMultifamily Structured Facilities Management System used, for Mortgage Loans in a Bulk Delivery, to submit Mortgage Loan and Property data for: Delivery and securitization; and any Property substitution occurring after the Mortgage Loan Origination Date. status is “submitted”.
Section 605

MBS Disclosure

Operating Procedures

DUS DeliverDUS DeliverMultifamily acquisition system used, for Mortgage Loans in a Credit Facility, to submit Mortgage Loan and Property data for: Delivery and securitization; and after the Mortgage Loan Origination Date, any collateral release or substitution, future advance or conversion, or other… and MSFMSMSFMSMultifamily Structured Facilities Management System used, for Mortgage Loans in a Bulk Delivery, to submit Mortgage Loan and Property data for: Delivery and securitization; and any Property substitution occurring after the Mortgage Loan Origination Date. automatically flag all MBSMBSMortgage-Backed Security backed by a 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. in a Structured Transaction for Additional DisclosureAdditional DisclosureInformation you provide that is published as an addendum to the disclosure documents when an MBS is issued and describes special Security, Mortgage Loan, or Property characteristics or terms that differ from those described in the standard Multifamily MBS Prospectus..  You must provide detailed information about all required Additional DisclosureAdditional DisclosureInformation you provide that is published as an addendum to the disclosure documents when an MBS is issued and describes special Security, Mortgage Loan, or Property characteristics or terms that differ from those described in the standard Multifamily MBS Prospectus. information per Part IV, Chapter 5: Purchase, Section 504: MBS Mortgage Loan Disclosure.

Section 606

Features and Activities
606.01

Process

Requirements

You must: 

Operating Procedures

When processing a collateral event:

  • do not create a new transaction in MSFMSMSFMSMultifamily Structured Facilities Management System used, for Mortgage Loans in a Bulk Delivery, to submit Mortgage Loan and Property data for: Delivery and securitization; and any Property substitution occurring after the Mortgage Loan Origination Date. (the activity will occur under the original MSFMSMSFMSMultifamily Structured Facilities Management System used, for Mortgage Loans in a Bulk Delivery, to submit Mortgage Loan and Property data for: Delivery and securitization; and any Property substitution occurring after the Mortgage Loan Origination Date. Deal ID); and
  • comply with the Structured Transaction ApprovalStructured Transaction ApprovalFannie Mae approval of a Structured Transaction outlining the terms, conditions, pricing, and fees. timing requirements.
Features and Activities
Activity You must... Process
Collateral Addition:  adding new collateral to an existing Structured Transaction Submit a request in DUS GatewayDUS GatewayMultifamily pre-acquisition system, or any successor systems, recording deal registration, Pre-Review and/or waiver tracking, Mortgage Loan Commitments, and decision records.. 

Step 1:  Fannie Mae Deal TeamFannie Mae Deal TeamTeam responsible for reviewing Pre-Review Mortgage Loans, waivers, etc. will

 

  • determine if the PropertyPropertyMultifamily residential real estate securing the Mortgage Loan, including the fee simple or Leasehold interest, Improvements, and personal property (per the Uniform Commercial Code). addition complies with the Structured Transaction Loan DocumentsStructured Transaction Loan DocumentsDocuments executed for a Structured Transaction, including a Master Credit Facility or Bulk Delivery Agreement, an Interest Rate Hedge Agreement, and all other required Loan Documents., and
  • send you a response.

 

Step 2:  If you receive a Structured Transaction ApprovalStructured Transaction ApprovalFannie Mae approval of a Structured Transaction outlining the terms, conditions, pricing, and fees., you must

 
Collateral Release:  releasing collateral from an existing Structured Transaction Submit a request in MAMPMAMPMultifamily Asset Management Portal used to submit Property inspections, operating statements, requested modifications, asset management reports, and data corrections for loan or property attributes..

Step 1:  The Fannie Mae Deal TeamFannie Mae Deal TeamTeam responsible for reviewing Pre-Review Mortgage Loans, waivers, etc. will

 

  • determine if the PropertyPropertyMultifamily residential real estate securing the Mortgage Loan, including the fee simple or Leasehold interest, Improvements, and personal property (per the Uniform Commercial Code). release complies with the Structured Transaction Loan DocumentsStructured Transaction Loan DocumentsDocuments executed for a Structured Transaction, including a Master Credit Facility or Bulk Delivery Agreement, an Interest Rate Hedge Agreement, and all other required Loan Documents., and
  • send you a response.

 

Step 2:  If you receive a Structured Transaction ApprovalStructured Transaction ApprovalFannie Mae approval of a Structured Transaction outlining the terms, conditions, pricing, and fees., you must:

 

  • pay any applicable fees per the Structured Transaction Loan DocumentsStructured Transaction Loan DocumentsDocuments executed for a Structured Transaction, including a Master Credit Facility or Bulk Delivery Agreement, an Interest Rate Hedge Agreement, and all other required Loan Documents. or the Structured Transaction ApprovalStructured Transaction ApprovalFannie Mae approval of a Structured Transaction outlining the terms, conditions, pricing, and fees. within 1 Business DayBusiness DayAny day other than a Saturday, Sunday, day when Fannie Mae is closed, day when the Federal Reserve Bank of New York is closed, or for any MBS and required remittance withdrawal, day when the Federal Reserve Bank is closed in the district where any of the MBS funds are held. after closing and releasing the collateral; and
  • notify the Fannie Mae Deal TeamFannie Mae Deal TeamTeam responsible for reviewing Pre-Review Mortgage Loans, waivers, etc. and Multifamily Structured AcquisitionsMultifamily Structured AcquisitionsTeam that can be contacted at [email protected]. if you need to change the release date. 
Collateral Substitution:  adding and releasing collateral in an existing Structured Transaction

Submit a request in:

 

  • DUS GatewayDUS GatewayMultifamily pre-acquisition system, or any successor systems, recording deal registration, Pre-Review and/or waiver tracking, Mortgage Loan Commitments, and decision records. for a substitution advance; or
  • MAMPMAMPMultifamily Asset Management Portal used to submit Property inspections, operating statements, requested modifications, asset management reports, and data corrections for loan or property attributes. for collateral only substitutions.

Step 1:  Fannie Mae Deal TeamFannie Mae Deal TeamTeam responsible for reviewing Pre-Review Mortgage Loans, waivers, etc. will

 

  • determine if the PropertyPropertyMultifamily residential real estate securing the Mortgage Loan, including the fee simple or Leasehold interest, Improvements, and personal property (per the Uniform Commercial Code). substitution complies with the Structured Transaction Loan DocumentsStructured Transaction Loan DocumentsDocuments executed for a Structured Transaction, including a Master Credit Facility or Bulk Delivery Agreement, an Interest Rate Hedge Agreement, and all other required Loan Documents., and
  • send you a response.

 

Step 2:  If you receive a Structured Transaction ApprovalStructured Transaction ApprovalFannie Mae approval of a Structured Transaction outlining the terms, conditions, pricing, and fees., you must comply with both the Collateral Addition and Collateral Release processes in this table.

 

 

Step 3:  If Fannie Mae permits a staggered substitution per the Structured Transaction Loan DocumentsStructured Transaction Loan DocumentsDocuments executed for a Structured Transaction, including a Master Credit Facility or Bulk Delivery Agreement, an Interest Rate Hedge Agreement, and all other required Loan Documents., you must:

 

  • Provide acceptable substitute collateral (such as cash, a Letter of CreditLetter of CreditLetter of Credit approved by Fannie Mae per Part I, Chapter 2: Mortgage Loan, Section 204: Letters of Credit., or other permitted replacement collateral per the Structured Transaction Loan DocumentsStructured Transaction Loan DocumentsDocuments executed for a Structured Transaction, including a Master Credit Facility or Bulk Delivery Agreement, an Interest Rate Hedge Agreement, and all other required Loan Documents.).
  • Add the substitute collateral within 90 days or other approved timeframe per the Structured Transaction ApprovalStructured Transaction ApprovalFannie Mae approval of a Structured Transaction outlining the terms, conditions, pricing, and fees. or the Structured Transaction Loan DocumentsStructured Transaction Loan DocumentsDocuments executed for a Structured Transaction, including a Master Credit Facility or Bulk Delivery Agreement, an Interest Rate Hedge Agreement, and all other required Loan Documents..
Conversion to Fixed Rate:  converting an ARM Mortgage Loan to a fixed rate Mortgage Loan Submit a request in DUS GatewayDUS GatewayMultifamily pre-acquisition system, or any successor systems, recording deal registration, Pre-Review and/or waiver tracking, Mortgage Loan Commitments, and decision records.. If Fannie Mae approves the conversion, you must comply with Part IV, Chapter 7: Variable Rate Conversions and Renewals, Section 703.01: Rate Lock and Commitment.
Borrow-Up:  funding additional loan proceeds without adding collateral Submit a request in DUS GatewayDUS GatewayMultifamily pre-acquisition system, or any successor systems, recording deal registration, Pre-Review and/or waiver tracking, Mortgage Loan Commitments, and decision records..

If Fannie Mae approves the borrow-up, you must

 
606.02

Asset Management Activities

Operating Procedures

Per Part V, Chapter 4: Asset Management: Loan Document Administration, Section 416: Credit Facilities and Bulk Deliveries, for certain asset management activities you may need to deliver documents or data to Fannie Mae.  To complete these activities:

Asset Management Activities
Activity You must...
Delivering new or modified Structured Transaction Loan Documents Comply with Part IV, Chapter 6: Structured Transactions, Section 604: Delivery.
Processing any Transfer/Assumption Submit new deal participant data per Part IV, Chapter 6: Structured Transactions, Section 604.01: Delivery Process.
Renewing, replacing, or modifying an Interest Rate Cap
  • Enter the new data in MSFMSMSFMSMultifamily Structured Facilities Management System used, for Mortgage Loans in a Bulk Delivery, to submit Mortgage Loan and Property data for: Delivery and securitization; and any Property substitution occurring after the Mortgage Loan Origination Date. per Part IV, Chapter 6: Structured Transactions, Section 604.01: Delivery Process.
  • Comply with the terms and conditions per the Structured Transaction ApprovalStructured Transaction ApprovalFannie Mae approval of a Structured Transaction outlining the terms, conditions, pricing, and fees..
Performing any other activities for a Structured Transaction