Today, FNMA released an updated version of Lender Letter 2020-03, providing clarification and special rules for the handling of certain mortgage loans due to the coronavirus pandemic. These rules include:
- Eliminating 4506-T requirements confirming “No Transcript Available” for the 2019 tax year, applicable to mortgage loans with an application or disbursement date between April 15 and July 15;
- Allowing, under certain conditions, persons “connected to the transaction” to act as attorney-in-fact for the borrowers in purchase transactions (as well as limited cash-out refinances); and
- Permitting remote online notarizations (“RON”) in 43 states (excluding Texas 50[a] loans) and outlining the requirements for having an acceptable RON process.
We are currently reviewing this Letter to determine any impact to our document library and/or systems and evaluating any necessary changes. Any modifications we make will be announced on our website (https://compliance.docutech.com/).