FHFA Further Extends COVID-Related Facilities

The Federal Housing Finance Agency on Thursday announced Fannie Mae and Freddie Mac would extend several loan origination flexibilities until January 31, from Dec. 31.

FHFA said the changes “are to ensure continued support for borrowers during the COVID-19 national emergency.”

Extended flexibilities include:

• Alternative appraisals on purchase and rate term refinance loans;
• Alternative methods for documenting income and verifying employment before loan closing; and
• Expanding the use of power of attorney to assist with loan closings. 

FHFA said it would continue to monitor the coronavirus situation and update policies as needed. HUD, FHFA and the Consumer Financial Protection Bureau maintain a joint website at cfpb.gov/housing.