Fannie Mae Release of DU Version 10.2

Fannie Mae will release DU Version 10.2 the weekend of March 17, 2018.  New loans submitted to DU on or after March 17, 2018 will be eligible for the enhancements implemented with DU 10.2

Loans that were submitted to DU Version 10.1 and resubmitted after the weekend of March 17th will continue to be underwritten to DU 10.1 requirements.

Highlights of DU 10.2 release are as follows:

DU Risk Assessment

Fannie Mae is adjusting DU’s risk assessment to limit risk layering after assessing loans delivered since the release of D.U. Version 10.1 which considered DTI ratios up to 50%.  Trended credit data will now be included in the risk assessment.

HomeStyle Renovation Mortgages

The HomeStyle program will be enhanced as follows:

  • The maximum LTV/CLTV is increased to 97%. The current requirements for standard Fannie Mae transactions with 95.01% to 97% LTV will apply:
    • 1-unit primary residence
    • Fixed rate only with a 15, 20, or 30 year loan term; ARMs ineligible
    • DU “Approve/Eligible