Freddie Mac Single-Family Seller/Servicer Guide 5703.8 — Maximum loan-to-value (LTV)/total LTV

Freddie Mac Single-Family Seller/Servicer Guide 5703.8 — Maximum loan-to-value (LTV)/total LTV

(TLTV)/Home Equity Line of Credit (HELOC) TLTV (HTLTV) ratios, loan terms and value calculations for Mortgages secured by Manufactured Homes (04/01/26) This section contains requirements related to: ■ Maximum loan-to-value (LTV)/total LTV (TLTV)/Home Equity Line of Credit (HELOC) TLTV (HTLTV) ratios and Mortgage terms ■ Calculation of value (a) Maximum LTV/TLTV/HTLTV ratios and Mortgage terms The maximum LTV, TLTV and HTLTV ratios and Mortgage term for a Mortgage secured by a Manufactured Home are as follows: Purchase and “no cash-out” refinance transactions Occupancy type Loan Product Advisor® Risk Class Maximum LTV/TLTV/ HTLTV ratio Maximum Mortgage term Mortgage Product Primary Residence Risk Class of Accept ≤ 95% 30-year loan term ■ Fixed-rate ■ 7/6-Month ARM ■ 10/6-Month ARM ■ Risk Class of Caution ■ Submitted to Loan Product ≤ 90% 30-year loan term Advisor and did not receive a Risk Class ■ Risk Class of Caution ■ Submitted to Loan Product Advisor and did not receive a Risk Class > 90% and ≤ 95% 20-year loan term Second home Risk Class of Accept ≤ 85% 30-year loan term Cash-out refinance transactions Occupancy type Loan Product Advisor® Risk Class Maximum LTV/TLTV/ HTLTV ratio Maximum Mortgage term Mortgage Product Primary Residence Risk Class of Accept ≤ 65% 30-year loan term ■ Fixed-rate ■ 7/6-Month ARM ■ 10/6-Month ARM ■ Risk Class of Caution ■ Submitted to Loan Product Advisor and did not receive a Risk Class 20-year loan term (b) Calculation of value The value used to determine the LTV/TLTV/HTLTV ratio of a Manufactured Home is calculated as follows: (i) Purchase transaction Mortgages Value calculation for purchase transaction Mortgages Property type Value New Manufactured Home The lower of: ■ The purchase price of the Manufactured Home and land ■ The current appraised value of the Manufactured Home and land; or ■ The purchase price of the Manufactured Home, and ❑ If the land was purchased less than 12 months prior to the Application Received Date, the lowest purchase price at which the land was sold during that 12-month period; or ❑ If the land was purchased 12 months or more prior to the Application Received Date, the current appraised value of the land Existing Manufactured Home The lower of: ■ The purchase price of the Manufactured Home and land ■ The current appraised value of the Manufactured Home and land; or ■ If the Manufactured Home was affixed to a permanent foundation less than 12 months prior to the Application Received Date: ❑ The lowest price at which the Manufactured Home was previously sold during that 12month period and ❑ The lower of: ■ The current appraised value of the land; or ■ The lowest price at which the land was sold during that 12-month period (provided there was such a sale) Value calculation for purchase transaction Mortgages Property type Value Existing Manufactured Home that has never been occupied in a new or existing Manufactured Home subdivision and sold by a builder or a developer or a manufacturer acting as a developer The lower of: ■ The purchase price of the Manufactured Home and land; or ■ The current appraised value of the Manufactured Home and land Construction to Permanent Mortgage secured by a Manufactured Home The lower of: ■ The purchase price of the Manufactured Home, plus the lowest purchase price at which the land was sold during the most recent 12-month period; or ■ Appraised value of the Mortgaged Premises, as completed Exception: If the Borrower acquired the land as a gift or by inheritance, the value of the land as reported on the appraisal report may be used in lieu of the purchase price of the land sold during the most recent 12-month period. (See Section 4602.2 for additional information on the calculation of value for Construction to Permanent Mortgages and Renovation Mortgages.) (ii) Refinance Mortgages Value calculation for refinance Mortgages “No cash-out” refinance Mortgages The value for a “no cash-out” refinance Mortgage, including a Construction to Permanent Mortgage, is the current appraised value of the Manufactured Home and land. Cash-out refinance Mortgages The value for a cash-out refinance Mortgage is the current appraised value of the Manufactured Home and land.

Source: Freddie Mac Single-Family Seller/Servicer Guide 5703.8 — Maximum loan-to-value (LTV)/total LTV · source URL · snapshot 4c94f67729042dd6