Forward Commitments

You must Deliver Deliver Submission of all correct, accurate, and certifiable documents, data, and information with all applicable documents properly completed, executed, and recorded as needed, and any deficiencies resolved to Fannie Mae’s satisfaction. a permanent Mortgage Loan Mortgage Loan Mortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or a mortgage debt obligation with a Fannie Mae credit enhancement. that complies with the Forward Commitment Confirmation.

Eligible Properties

A Property Property Multifamily residential real estate securing the Mortgage Loan, including the fee simple or Leasehold interest, Improvements, and personal property (per the Uniform Commercial Code). undergoing new construction or substantial rehabilitation is eligible for a Forward Commitment Forward Commitment Commitment to purchase a permanent Mortgage Loan for a to-be constructed or rehabilitated Property. . Property Property Multifamily residential real estate securing the Mortgage Loan, including the fee simple or Leasehold interest, Improvements, and personal property (per the Uniform Commercial Code). substitutions are not permitted.

Funded Forward Commitments

You may contact the Fannie Mae Deal Team Fannie Mae Deal Team Team responsible for reviewing Pre-Review Mortgage Loans, waivers, etc. for funded Forward Commitment Forward Commitment Commitment to purchase a permanent Mortgage Loan for a to-be constructed or rehabilitated Property. information.

Unfunded Forward Commitments

Terms and Interest Rate Determination

Terms

• have the same terms as the Forward Commitment Confirmation;
• comply with this Chapter; and
• comply with all Forward Commitment Forward Commitment Commitment to purchase a permanent Mortgage Loan for a to-be constructed or rehabilitated Property. documents.

Must be a fixed rate or variable rate:

• Mortgage Loan Mortgage Loan Mortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or a mortgage debt obligation with a Fannie Mae credit enhancement. ; or
• tax-exempt bond credit enhancement or associated Taxable Tail Taxable Tail Taxable debt secured by the Property securing the Credit Enhancement Mortgage Loan. .

You must not Deliver Deliver Submission of all correct, accurate, and certifiable documents, data, and information with all applicable documents properly completed, executed, and recorded as needed, and any deficiencies resolved to Fannie Mae’s satisfaction. a Mortgage Loan Mortgage Loan Mortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or a mortgage debt obligation with a Fannie Mae credit enhancement. as an immediate Delivery Delivery Submission of all correct, accurate, and certifiable documents, data, and information with all applicable documents properly completed, executed, and recorded as needed, and any deficiencies resolved to Fannie Mae’s satisfaction. if the Forward Commitment Forward Commitment Commitment to purchase a permanent Mortgage Loan for a to-be constructed or rehabilitated Property.

Interest Rate Determination and Rate Lock

The interest rate for a permanent Mortgage Loan Mortgage Loan Mortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or a mortgage debt obligation with a Fannie Mae credit enhancement. is determined:

• with a Rate Lock Rate Lock Agreement between you and the Investor containing the terms of the Lender-Arranged Sale or Multifamily Trading Desk trade of the Mortgage Loan and the MBS terms and conditions relating to the underlying MBS, if applicable, which may be documented via a recorded telephone conversation. as of the Forward Commitment Forward Commitment Commitment to purchase a permanent Mortgage Loan for a to-be constructed or rehabilitated Property. date; or
• for a Forward Commitment Forward Commitment Commitment to purchase a permanent Mortgage Loan for a to-be constructed or rehabilitated Property. on a Credit Enhancement Mortgage Loan Credit Enhancement Mortgage Loan Mortgage Loan financed by a Bond issuance where Fannie Mae provides credit enhancement by a Credit Enhancement Instrument, or an MBS for Bonds. , at Bond Bond Tax-exempt or taxable multifamily revenue bonds, or other tax-exempt or taxable bonds, issued to finance 1 or more Credit Enhancement Mortgage Loan Properties. pricing per Part IV, Chapter 8: Bond Transactions and Credit Enhancement Mortgage Loans, Section 801.04: Rate Lock.

• set the Guaranty Fee Guaranty Fee Fee retained by Fannie Mae for credit enhancing a Mortgage Loan or assuming credit risk on a Mortgage Loan, and which may be expressed as a percentage. and Servicing Fee Servicing Fee Fee a Servicer receives for collecting payments, managing operational procedures, and assuming your portion of credit risk for a Mortgage Loan, and which may be expressed as a percentage. at Rate Lock Rate Lock Agreement between you and the Investor containing the terms of the Lender-Arranged Sale or Multifamily Trading Desk trade of the Mortgage Loan and the MBS terms and conditions relating to the underlying MBS, if applicable, which may be documented via a recorded telephone conversation. , and
• ensure they are paid only on the permanent Mortgage Loan Mortgage Loan Mortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or a mortgage debt obligation with a Fannie Mae credit enhancement. .

No Guaranty Fee Guaranty Fee Fee retained by Fannie Mae for credit enhancing a Mortgage Loan or assuming credit risk on a Mortgage Loan, and which may be expressed as a percentage. or Servicing Fee Servicing Fee Fee a Servicer receives for collecting payments, managing operational procedures, and assuming your portion of credit risk for a Mortgage Loan, and which may be expressed as a percentage. will be charged during the construction period.

Good Faith Deposit and Fees

Good Faith Deposit

You must collect the Good Faith Deposit Good Faith Deposit Amount you collect from the Borrower when originating a Mortgage Loan per ​Part IV, Chapter 2: Rate Lock and Committing, Section 203: Good Faith Deposits. from the Borrower Borrower Person who is the obligor per the Note. per

• Part IV, Chapter 2: Rate Lock and Committing, Section 203.01: Borrower Deposit, and
• Part IV, Chapter 2: Rate Lock and Committing, Section 203.02: Minimum Good Faith Deposit.

Fees

The following fees apply to Forward Commitments Forward Commitments Commitment to purchase a permanent Mortgage Loan for a to-be constructed or rehabilitated Property. .

For the Forward Commitment Forward Commitment Commitment to purchase a permanent Mortgage Loan for a to-be constructed or rehabilitated Property. term, the fee is:

• per the Forward Commitment Forward Commitment Commitment to purchase a permanent Mortgage Loan for a to-be constructed or rehabilitated Property. ; and
• due when the Forward Commitment Forward Commitment Commitment to purchase a permanent Mortgage Loan for a to-be constructed or rehabilitated Property. is confirmed.

For each extension contemplated in the Forward Commitment Forward Commitment Commitment to purchase a permanent Mortgage Loan for a to-be constructed or rehabilitated Property. , the fee is:

• per the Forward Commitment Forward Commitment Commitment to purchase a permanent Mortgage Loan for a to-be constructed or rehabilitated Property. ; and
• due when Fannie Mae processes the extension.

If the conversion conditions are not met or the permanent Mortgage Loan Mortgage Loan Mortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or a mortgage debt obligation with a Fannie Mae credit enhancement. is not Delivered Delivered Submission of all correct, accurate, and certifiable documents, data, and information with all applicable documents properly completed, executed, and recorded as needed, and any deficiencies resolved to Fannie Mae’s satisfaction. per the Forward Commitment Forward Commitment Commitment to purchase a permanent Mortgage Loan for a to-be constructed or rehabilitated Property. , the fee is:

• for:
  • a Forward Commitment Forward Commitment Commitment to purchase a permanent Mortgage Loan for a to-be constructed or rehabilitated Property. involving a Credit Enhancement Mortgage Loan Credit Enhancement Mortgage Loan Mortgage Loan financed by a Bond issuance where Fannie Mae provides credit enhancement by a Credit Enhancement Instrument, or an MBS for Bonds. , per the Credit Enhancement Commitment Letter; or
  • all other Forward Commitments Forward Commitments Commitment to purchase a permanent Mortgage Loan for a to-be constructed or rehabilitated Property. , per Form 4210; and
  • expiration date, or
  • termination by Fannie Mae.

  For a Forward Commitment Forward Commitment Commitment to purchase a permanent Mortgage Loan for a to-be constructed or rehabilitated Property. not involving a Credit Enhancement Mortgage Loan Credit Enhancement Mortgage Loan Mortgage Loan financed by a Bond issuance where Fannie Mae provides credit enhancement by a Credit Enhancement Instrument, or an MBS for Bonds. , if the permanent Mortgage Loan Mortgage Loan Mortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or a mortgage debt obligation with a Fannie Mae credit enhancement. closes, but its original principal amount is less than 90% of the maximum Mortgage Loan Mortgage Loan Mortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or a mortgage debt obligation with a Fannie Mae credit enhancement. amount, the fee is:

  • per Form 4210; and
  • drafted from your account by the permanent Mortgage Loan Mortgage Loan Mortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or a mortgage debt obligation with a Fannie Mae credit enhancement. closing.
  • charge the Borrower Borrower Person who is the obligor per the Note. :
    • an Origination Fee Origination Fee Fee you charge the Borrower for underwriting and originating the Mortgage Loan. per the Pricing Memo Pricing Memo Applicable DUS Pricing Memo or non-DUS Pricing Memo communicating pricing for various products and features. ; and
    • a Construction Loan Administration Fee covering the actual loan administration costs, but no less than $500 per month; and