![]() As explained by Fannie Mae in Lender Letter LL-2021-09 and Freddie Mac in Bulletin 2021-13, the GSEs will generally only purchase loans originated on or after July 1 if they conform to the requirements of the General QM Final Rule. This rule, however, may prove of little effect. ![]() Additionally, the GSE patch will continue to exist until October 1, 2022. ![]() Details concerning the new General QM Final Rule can be found here.Īs a result of the new rule, lenders can continue to originate QM loans using the old general QM loan definition for loans with an application received date before October 1, 2022. The General QM Final Rule was created to address the expiration of the GSE patch, which permits certain mortgage loans eligible for purchase or guarantee by Fannie Mae and Freddie Mac (GSEs) to qualify as QM loans despite not meeting all requirements of the general QM loan definition. The CFPB stated that it issued the rule “to help ensure access to responsible, affordable mortgage credit and to preserve flexibility for consumers affected by the COVID-19 pandemic and its economic effects.” The mandatory compliance was originally set for July 1. On April 27, the Bureau of Consumer Financial Protection (CFPB) issued a final rule to delay the mandatory compliance date for the General QM Final Rule until October 1, 2022.
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