Freddie Mac Update to Cash-Out Seasoning Requirement

Freddie Mac Bulletin 2022-25, dated December 7, 2022, announced an update to Freddie Mac cash-out refinance seasoning requirement.

Freddie Mac is increasing the seasoning requirement for cash-out refinance transactions from 6 months to 12 months (measured from the Note date of the loan being refinanced to the Note date of the cash-out transaction). Homebridge will implement this change effective for loans with a Note dated on or after February 7, 2023

The seasoning requirement does not apply when the cash-out proceeds will be used to buy out the equity of a co-owner or when the first lien being refinanced is a HELOC.

The Homebridge Freddie Mac guidelines have been updated and have been posted on the Homebridge website at www.HomebridgeWholesale.com.

If you have any questions, please contact your Account Executive.