Section 101

Generally

101.01

Relationship

Requirements

You must:

  • service all 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. on Fannie Mae's behalf per the GuideGuideMultifamily Selling and Servicing Guide controlling all Lender and Servicer requirements unless a Lender Contract specifies otherwise. ; and
  • not engage any PersonPersonLegal person, including an individual, estate, trust, corporation, partnership, limited liability company, financial institution, joint venture, association, or other organization or entity (whether governmental or private). on the Restricted Vendor List to perform any service for, or be involved in any way with, 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. servicing.
101.02

Standard

Requirements

You must:

  • always protect Fannie Mae’s interest in 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. ;
  • collect all amounts due from the BorrowerBorrowerPerson who is the obligor per the Note. for Fannie Mae and any MBS InvestorMBS InvestorFor MBS Mortgage Loans, either a Third Party MBS Investor for Lender-Arranged Sales, or the Multifamily Trading Desk. ;
  • service 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. per these documents until your obligations end in the following order of priority:
  1. Loan DocumentsLoan DocumentsAll Fannie Mae-approved documents evidencing, securing, or guaranteeing the Mortgage Loan. ;
  2. Disclosure DocumentsDisclosure DocumentsDocuments for an Investor for a particular Securitized Mortgage Loan, which may include the MBS Trust Agreement, Prospectus, and any related documents. ;
  3. Lender ContractLender ContractProgram Documents per the Multifamily Selling and Servicing Agreement. ;
  4. GuideGuideMultifamily Selling and Servicing Guide controlling all Lender and Servicer requirements unless a Lender Contract specifies otherwise. ; and
  5. commercially sound servicing practices and business judgment exercised by prudent institutional servicers for comparable mortgage loans in the Property'sProperty'sMultifamily residential real estate securing the Mortgage Loan, including the fee simple or Leasehold interest, Improvements, and personal property (per the Uniform Commercial Code). jurisdiction;
  • perform additional servicing duties when directed by Fannie Mae; and
  • hold any retained subservicer to this standard.
101.03

Servicing File

Requirements

You must:

  • maintain a separate Servicing FileServicing FileYour file for each Mortgage Loan serviced. 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. ; and
  • permit Fannie Mae to periodically examine your Servicing FilesServicing FilesYour file for each Mortgage Loan serviced. .

Operating Procedures

The Servicing FileServicing FileYour file for each Mortgage Loan serviced. must:

1.  Per the Multifamily Servicing File Content Requirements (Form 4800), include a copy of all

  • 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. origination documents,
  • underwriting documents,
  • Loan DocumentsLoan DocumentsAll Fannie Mae-approved documents evidencing, securing, or guaranteeing the Mortgage Loan. , and
  • servicing documents.

2.  Fully document your actions 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. .

3.  Be in paper or electronic imaged form.

4.  Comply with all record retention requirements per the Program Rules.

101.04

Loan Document Compliance

Requirements

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. , you must:

  • monitor the Borrower'sBorrower'sPerson who is the obligor per the Note. compliance with all Loan DocumentLoan DocumentAll Fannie Mae-approved documents evidencing, securing, or guaranteeing the Mortgage Loan. terms and conditions; and
  • appropriately address noncompliance.