Fund Members should be aware of Freddie Mac’s Bulletin Number M2024-4, issued August 15, 2024, which updates the Freddie Mac Multifamily Seller/Servicer Guide.
Of Specific Note: The updated guide requires the Title Insurance Underwriter to handle all funding aspects of acquisition transactions. Specifically, the Title Insurance Underwriter must receive and disburse all funds from all sources related to the acquisition of property and prepare the settlement statement for the acquisition and the acquisition financing. The Title Insurance Underwriter must also directly deliver the settlement statement to the Freddie Mac Seller/Servicer or the Freddie Mac Seller/Servicer’s counsel. The closing of the loan, recording of the documents and issuance of the Title Policy can still be handled by the Title Agent selected by the Borrower or the Freddie Mac Seller/Servicer.
The new requirements are effective for mortgages on multifamily property taken under seller/servicer application on or after August 15, 2024.
The Bulletin may be viewed at: https://mf.freddiemac.com/docs/ss_gb_cover_letter_08_15_24.pdf
The update Guide may be viewed at: https://mf.freddiemac.com/docs/mf_guide_full.pdf
The Fund stands ready to assist Fund Members in their commercial closings and is available to assist with this new Freddie Mac requirement for commercial transactions.
The Fund Commercial Services Department may be contacted at: 800-432-9594 or CommercialServices@TheFund.com