CRT-Eligible Profile Summary

DU Model Updates: 2021-2023 Sep 2021: DU 11.0 ☐ Updated the credit score used by DU in the eligibility assessment for loan casefiles with more than one borrower by using an average median credit score when determining if a loan casefile meets the minimum credit score requirement of 620. DU to consider a borrower's positive rent payment history in the credit risk assessment. Lender must obtain a 12-month Verification of Asset (VOA) report. May result in additional loans receiving Approve/Eligible in DU Mar 2022: DU 11.0 Implemented a desktop appraisal option. Must be a purchase transactions secured by a one-unit principal residences, and LTV ratio is <=90%. Apr 2022: DU 11.0 – Removed the minimum representative credit score requirement of 620 for Refi Now™ loans. Jul 2022: DU 11.0 – Updated risk and eligibility assessment in response to changing market conditions. May yield a reduction in loan case files receiving Approval/Eligible, with most noticeable reduction on cash-out refinance transactions when multiple high-risk factors are present. Aug 2022: DU 11.0 DU to issue employment documentation messages specific to RefiNow when the requirements are different than standard documentation requirements. Asset documentation flexibility extended to RefiNow loan casefiles. Dec 2022: DU 11.0 Enhancements to support loans where no borrower has traditional credit. Principal residence, purchase or limited cash-out refinance, LTV/CLTV <=95%, DTI up to 50%. Cashflow assessment required via 12- month asset verification report. May result in additional loans receiving Approve/Eligible in DU Jan 2023: DU 11.1 Fine tune DU's ability to assess risk. May yield a reduction in loans case files receiving Approve/Eligible with most notable reduction of loans with high LTV and DTI ratios with multiple high-risk factors. Certain loans meeting specific housing goals or Duty to Serve initiatives are excluded. Updates to improve DU's ability to identify rent payment history on a third- party asset verification report. Learn more: singlefamily.fanniemae.com/applications-technology/desktop- underwriter-desktop-originator 41 © 2024 Fannie Mae

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