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D2-3.1-06: Notifying Fannie Mae of Lead-Based Paint Citations (11/12/2014)

 

Notifying Fannie Mae of Lead-Based Paint Citations

For any mortgage loan secured by a one-unit investment property or a two- to four-unit property for which the servicer is considering a workout option, the servicer must notify Fannie Mae if it

  • learns of the issuance of a lead-based paint citation,

  • obtains other evidence of lead-based paint law violations, or

  • becomes aware of threatened or pending lead-based paint litigation.

If the security property is located in Massachusetts, the servicer must conduct an actual search to determine whether there are any outstanding lead-based paint citations against the property or the property owner.

The servicer must follow the procedures in Notifying Fannie Mae of Lead-Based Paint Citations in F-1-12, Preparing to Implement a Workout Option to report the action to Fannie Mae.

 

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