Cash Contract Data Fields

Transcription

1 Data Field Definitions Use the table that follows to understand the data fields required to create cash contracts in Loan Selling Advisor SM. These data fields display in the take out contract screens and are based on the contract and servicing options you select. For example, the Index Source Type data field displays for a weighted average coupon (WAC) ARM contract but does not display for a fixed-rate contract. Master Commitment Indicates the Master Commitment number under which you are taking out a Cash Contract. Referred to in the Guide as Pricing Identifier which is a number (or other designation that Freddie Mac may select) that identifies an agreement providing the terms under which Freddie Mac will purchase eligible Mortgages over a fixed period of time. In certain instances, the Pricing Identifier may be designated in Loan Selling Advisor as None. Should be used when you want to deliver the contract against the terms of your Master Commitment. For cash contracts, if you do not have a Master Commitment, you must select None from the menu. December

2 Index Source Type Specifies the type and source of the index to be used to determine the interest rate at each adjustment. Weekly One Year Treasury Securities Constant Maturity FRBH15. Weekly Three Year Treasury Securities Constant Maturity FRBH15. Weekly Five Year Treasury Securities Constant Maturity FRBH15. LIBOR One Year WSJ Daily. Six Month LIBOR WSJ Daily. Contract Product The highest indicator of the types of mortgages that can be delivered under a contract. For eligible loan products available for each Contract Product, refer to Exhibit 17S, Available Mortgage Products. Cash Specified Pool Indicator Indicates whether the contract will be fulfilled with mortgages that meet the requirements for Cash Specified Pool Types. Yes, No. Mandatory, Fixed. Cash Specified Pool Type Specifies the maximum loan balance of the loan(s) intended for delivery under the contract. These characteristics are factored into the price of the contract during loan allocation. Maximum LLB $175,000. Maximum LLB $150,000. Maximum LLB $125,000. Maximum LLB $110,000. Maximum LLB $85,000. Mandatory, Fixed. Contract Amount The aggregate unpaid principal balance of mortgages that you agree to sell to Freddie Mac under the contract. December Page 2

3 Contract Name A unique name you may select to identify the contract. (optional field). Is alphanumeric and can contain special characters including spaces, dashes, and so forth. Contract Period The number of days between the date you take out the contract and the date you must completely fulfill the contract including satisfactory delivery of all documentation as well as funding. A number between 2 and 90 days. Interest Rate Percent Range Indicates the 51-basis-point Note rate range, where you receive a price for each oneeighth interest rate increment when you take out your contract. You may enter any 51-basis-point Note rate range, as long as the beginning and ending interest rates are a multiple of one-eighth. Mandatory Fixed December Page 3

4 LTV Ratio Percent Range Used to identify Relief Refinance Mortgages and the appropriate LTV range for each contract. Sellers must ensure all allocated loans meet the selected LTV range for the contract, and are required to take out separate contracts based on the following ranges: 0% < LTV < 105% 105% < LTV <115% 115% < LTV <125% All Freddie Mac Relief Refinance Mortgages with LTV ratios up to and including 105% may be sold through Loan Selling Advisor under one of the following methods: Fixed-rate Cash. Fixed rate Guarantor. Weighted Average Coupon (WAC) adjustable-rate mortgage (ARM) Cash WAC ARM Guarantor MultiLender Swap Fixed-rate Relief Refinance Mortgages with LTV ratios greater than 105% up to but not greater than 125% may be sold through Loan Selling Advisor under one of the following: Fixed-rate Cash. Fixed-rate Guarantor. See next row for additional information. December Page 4

5 LTV Ratio Percent Range Additional Information: Relief Refinance Mortgages with LTV ratios less than or equal to 105% may be sold through Loan Selling Advisor s servicingreleased sales process. Only fixed-rate mortgages can have LTV ratios greater than 105% but not greater than 125%. Convertible Indicator Indicates whether the loan has a convertible characteristic. Field value is True or False. Field auto-populates once you select the Master Commitment, Index Source Type, and Contract Product. Assumability Indicator Indicates whether the loan is assumable by another borrower. Field value is True or False. Field auto-populates once you select the Master Commitment, Index Source Type, and Contract Product. Assumability Type Specifies when the loan assumption is permitted. Field is Assumable After First Rate Change Date or Assumable For Life Of Loan. Field auto-populates once you select the Master Commitment, Index Source Type, and Contract Product. Effective Time This represents the date and time you take out a Cash contract. It is automatically populated. N/A. N/A. N/A. December Page 5

6 Escrow Coverage Indicates whether the Servicer collects escrows. Taxes and Insurance or Not Escrowed. State Code The State where the property is located. Cross Sell Rights Indicates whether the Servicer has cross sell rights. Seller Retained or Seller Released. CS/LTV (A-Minus) Instructs Loan Selling Advisor to return Fixed Rate, Servicing Released contract (indication) prices as though loans in the contract will be CS/LTV (A- Minus) mortgages. Can be Loan Prospector (LP) mortgages with a caution risk class and A-Minus evaluation results, or non-lp mortgages subject to a CS/LTV Fee. Yes or No. Average Unpaid Principal Balance The average unpaid principal balance of all loans delivered in a contract. December Page 6

7 Contract Interest Rate The Note Rate is the interest rate payable under the Note. For ARM mortgages, the Note Rate may adjust from time to time in accordance with the terms of the Note. This term is also known as Note Rate in the Freddie Mac Seller Servicer Guide Glossary. Contract Gross Margin Servicing Fee During Fixed Period The number of percentage points added to the current index value to establish the new Note rate at each interest change date. This term is also known as Gross Mortgage Margin in the Freddie Mac Seller Servicer Guide Glossary. The amount of interest income retained by the Servicer from each mortgage as compensation for Servicing that mortgage, and is the amount by which the Note Rate exceeds the Accounting Net Yield applicable to that mortgage. Also known as Servicing Fee in the Freddie Mac Seller Servicer Guide Glossary. 2.5% 3.375%. Mandatory ARM. 0.25% % December Page 7

8 First Per Change Maximum Increase Rate Percent Subsequent Per Change Maximum Increase Rate Percent Life of Loan Rate Cap Percent Number of Months To Next Payment Adjustment The maximum number of percentage points by which the rate can increase from the initial interest rate. The maximum number of percentage points by which the rate can increase from the previous interest rate. For ARMs, this is the number of percentage points, which when added to the initial Note Rate, yields the Lifetime Ceiling. The number of months between rate adjustments, if the interest rate on the subject loan can change. 5%. 2%. 5% months. Indicates whether the servicing will be retained by the Seller or will be transferred, with the sale of the mortgages, to a Servicer selected by the Seller or to a Servicer selected by Freddie Mac. Servicing Retained should be selected when the Seller will retain servicing. Concurrent Servicing (CTOS) should be selected when the Seller will be transferring servicing to a Servicer that the Seller has selected with the sale of the mortgage to Freddie Mac. Servicing Released, and Designated Servicer # Indicates the Servicer s Seller/Servicer number. Must be pre-approved by Freddie Mac using Form 960. December Page 8

9 Servicing Fee Rate The percentage collected from the Borrower's payment that the Servicer will retain as income. Servicing Spread. Remittance Option Also known as remittance cycle option, determines the due date for remitting monthly principal and interest due to Freddie Mac for servicing purposes. Types of remittance options for fixedrate Cash: Gold. First Tuesday. Types of remittance options for WAC ARM Cash: First Tuesday. ARC (Accelerated Remittance Cycle). Interest/ Principal Remittance Type Describes the method used for remitting the interest and principal. Field auto-populates after a Master Commitment is selected. Prepayment Remittance Due Days Indicates the number of days the Seller has to remit the unpaid principal balance to Freddie Mac if a loan is paid off early. Field auto-populates after a Master Commitment is selected. This document is not a replacement or substitute for the information found in the Freddie Mac Single-Family Seller/Servicer Guide and /or terms of your Master Agreement and/or other Pricing Identifier Terms Freddie Mac December Page 9