When I use HVE on the “front end” of origination to estimate value, if I sell the loan to Freddie Mac will I receive representation and warranty relief for the appraised value?
No, lenders must still represent and warrant the appraised value as outlined in the Freddie Mac Single-Family Seller/Servicer Guide (Guide). Freddie Mac does not view the HVE point value as a replacement for an appraisal. Seller/Servicers can use the HVE point value as a workflow tool to help identify appraisals with outlying values.
Related Questions
- If the HVE point value estimate does not support the value needed for the Relief Refinance Mortgage – Same Servicer, may I obtain a new appraisal or use the appraisal from the existing mortgage?
- Are Freddie Mac and Fannie Mae communicating with the Loan Origination System (LOS) vendors and other technical vendors?
- What information must be submitted to the HVE look-up tool to receive a point value estimate?
