Selling Guide

Published December 4, 2019


The Selling Guide is organized into parts that reflect how lenders generally categorize various aspects of their business relationship with Fannie Mae:

Content Organization

The Selling Guide is organized into parts that reflect how lenders generally categorize various aspects of their business relationship with Fannie Mae:

Part A, Doing Business with Fannie Mae
Subpart 1: Approval Qualification
Subpart 2: Lender Contract
Subpart 3: Getting Started With Fannie Mae
Subpart 4: Maintaining Seller/Servicer Eligibility
Part B, Originating through Closing
Subpart 1: Loan Application Package
Subpart 2: Eligibility
Subpart 3: Underwriting Borrowers
Subpart 4: Underwriting Property
Subpart 5: Unique Eligibility and Underwriting Considerations
Subpart 6: Government Programs Eligibility and Underwriting Requirements
Subpart 7: Insurance
Subpart 8: Closing: Legal Documents
Part C, Selling, Securitizing, and Delivering Loans
Subpart 1: General Information on Execution Options and Loan Delivery
Subpart 2: Whole Loan Transactions
Subpart 3: Mortgage-Backed Securities (MBS)
Part D, Ensuring Quality Control (QC)
Subpart 1: Lender QC Process
Subpart 2: Fannie Mae QC Process
Part E, Quick Reference Materials
Chapter 1: Selling Guide Resources
Chapter 2: Exhibits
Chapter 3: Glossary

Part A through Part D are structured hierarchically—by subpart, chapter, section, and topic—to present Fannie Mae requirements with increasing levels of detail, so that readers can quickly locate a subject of interest and find desired content. Part E includes a variety of support components—including Selling Guide Resources, Exhibits, and Glossary.

The Table of Contents provides additional details on the content. To learn more about the content included in a particular part and how content in that part is organized, see the Introduction provided at the beginning of the part.

Use of the Numbering System to Identify Levels of Content

The numbering system used to identify the levels of detail of the content contained within this Selling Guide can help the reader to navigate the Guide more easily and to recognize where a particular topic is contained within the content hierarchy.

Consider the numbering system identifier for the topic “Requirements for Credit Reports”:

B3-5.2-01 Requirements for Credit Reports

Based on the following,

Part has a corresponding Letter (uppercase beginning with A)
Subpart has a corresponding Numeral (one-digit beginning with 1)
Chapter has a corresponding Numeral (one-digit beginning with 1)
Section has a corresponding Numeral (one-digit beginning with 1)
Topic has a corresponding Numeral (two-digit beginning with 01)

the reader can use the numbering system identifier (“B3-5.2-01”) to map the location and level of content detail of this topic within the Selling Guide.

For example, here is how the numbering system identifier for topic B3–5.2–01 maps to the content levels:

Part B
Subpart 3
Chapter 5
Section 2
Topic 01

As shown above, the part and subpart are combined as B3-. The chapter and section are combined as 5.2- and the topic is added as 01.

Keep in mind that not all parts have subparts and not all chapters have sections. For example, the topic “Master Agreement Overview” has the numbering system identifier “A2-4-01” (which does not include a section):

Part A
Subpart 2
Chapter 4
Topic 01

Note: As topics are added, updated and deleted with each publication of the Selling Guide, the chapters, sections and topic identifiers will change accordingly.

Trademark Acknowledgements

ARM Flex®, As Soon As Pooled®, Collateral Underwriter®, Community Seconds®, Condo Project Manager™, CPM™, CU™, DO®, Desktop Underwriter®, DU®, Fannie Mae Connect™, Fannie Majors®, HomePath®, HomeReady®, HomeStyle®, HomeStyle® Energy, Loan Limit Geocoder™, Loan Quality Connect™, MBS Express®, Pricing & Execution - Whole Loan®, Servicing Execution Tool™, and SET™, are trademarks of Fannie Mae. All other trademarks are the property of their respective owners.

Amendments to the Guide

Fannie Mae may at any time alter or waive any of the requirements of this Selling Guide, impose other additional requirements, or rescind or amend any and all material set forth in this Selling Guide. The lender must make sure that its staff is thoroughly familiar with the content and requirements of this Selling Guide, as it now exists and as it may be changed from time to time.

Notification of Changes and Updates

Fannie Mae notifies lenders of changes and updates to Selling Guide policies and procedures via announcements, notices, and lender letters, described below:

  • Announcements – communicate policy changes that impact the Selling Guide and that are incorporated into the Selling Guide on a monthly cycle. On occasion, a policy change may require immediate communication with Fannie Mae lenders and so is released ‘off-cycle’ and incorporated into a future Selling Guide update. Announcements are numbered as: SEL-20XX-XX.

  • Lender letters – present new or modified policies and procedures that are not documented in the Guide, such as policy changes that are temporary in nature (initiatives or pilots), reminders of existing policies, or upcoming Guide updates. Lender letters are numbered as: LL-20XX-XX.

  • Notices – clarify or reiterate existing Selling Guide policies, provide advance notice of upcoming changes, provide minor updates to procedures, notify lenders of updated forms or documents posted on Fannie Mae’s website, communicate extended expiration dates or other important information of interest to Fannie Mae or Fannie Mae lenders. While notices may refer to requirements in the Selling Guide, they do not revise or otherwise change these requirements and are not used to communicate new policies. Notices can be identified by the date published (and are not numbered).

Announcements, lender letters, and notices are incorporated into the Guide by reference, and as such, are legally binding.

Lender letters and notices are not included in the Guide but continue to be in effect and legally binding until any sunset date specified in the lender letter or notice or until amended by a subsequent lender letter, notice, or announcement.

Announcements, lender letters, and notices are released to lenders in two ways:

  • By posting the documents on Fannie Mae's website and the AllRegs website.

  • By email notification of these postings to lenders that subscribe to Fannie Mae’s email subscription service and select the option “Selling News.”

Fannie Mae does not mail printed copies of Selling Guide updates, announcements, notices or lender letters. Lenders that want printed copies may download and print PDF files of the documents posted on Fannie Mae's website.

Contents of the Selling Guide

The Selling Guide contains the current policies and procedures and all announcements issued to date have been incorporated.

Forms, Exhibits, and Content Incorporated by Reference

Information about the specific forms that lenders must use in fulfilling the requirements contained in the Selling Guide is given in context within the Guide. Lenders can access the actual forms in several ways:

  • On Fannie Mae's website via the Guide Forms page, which provides a complete list of forms.

  • On the AllRegs website via embedded links in the free electronic version of the Guide (and through a searchable database with a full subscription to AllRegs Online).

Some exhibits that relate to Fannie Mae requirements are only referenced in the Guide and are posted in their entirety on Fannie Mae's website. In addition, from time to time, product-specific guides or directives are issued which are incorporated into this Selling Guide by reference. Such product-specific information—whether it currently exists or is subsequently created—and the exhibits referenced in the Guide now or later are legally a part of this Selling Guide (and the Servicing Guide).

Technical Issues

In the event of technical difficulties or system failures with Fannie Mae's website, with delivery of the “Selling News” option of Fannie Mae’s email subscription service, or with the AllRegs website, users may contact the following resources:

  • For Fannie Mae's website and Fannie Mae’s email subscription service, use the “Contact Us” link on the website to ask questions or obtain more information.

  • For the AllRegs website, submit an email support request from the website or contact AllRegs Customer Service at (800) 848-4904.

When Questions Arise

This Selling Guide explains how to become an approved Fannie Mae lender and the procedures for normal and routine selling matters. If a lender feels that a situation is not covered or a procedure may not apply because of certain circumstances, the lender’s principal contact should be its Fannie Mae customer account team. The Guide specifically indicates situations in which a lender may need to contact other groups within Fannie Mae, such as the Capital Markets Pricing and Sales Desk. For contact information on the regional offices and other key contacts, refer to E-1-03, List of Contacts.