The announcement is an update to the PHH Mortgage Seller Guide (“Guide”). The requirements contained herein and in previous announcements are incorporated into the Guide, and they are considered a part of and supplement the Guide.
Per the CFPB announcement dated April 27, 2021, the mandatory compliance date for the General Qualified Mortgage (QM) Final Rule has been extended from 7/1/2021 to 10/1/2022. Fannie Mae and Freddie Mac announced via Lender Letter 2021-09 and Bulletin 2021-13 that due to recent changes to the Preferred Stock Purchase Agreement, they are still subject to the 7/1/2021 compliance date.
To comply with the GSE delivery deadlines, PHH will be requiring the following on all conventional loans:
- Application dates on or prior to 6/30/2021: Loans closed using the current QM rule requirements must be delivered by 8/1/2021 and purchased by 8/15/2021. Any loan not purchased by 8/15/2021 will be marked as ineligible for purchase.
- Application dates on or after 7/1/2021: Loans closed using the current QM rule requirements will not be eligible for purchase by PHH. There will be no exceptions granted.
- Loans closed using the revised QM rule will be eligible for purchase regardless of application date provided there are no deficiencies noted during pre-purchase review.
If you have any questions, please feel free to contact your Account Executive, Rate Lock or PHH Correspondent Operations at 1-800-929-4744, or
RateLock@PHHMortgage.com or
PHHCorrSupport@PHHMortgage.com.
Coming soon – PHH Mortgage is changing its name!
