Skip to main content
Search the Guide:

B5-1-02, High-Balance Pricing, Mortgage Insurance, Special Feature Codes, and Delivery Limitations (02/01/2023)

This topic contains information about the following aspects of high-balance mortgage loans, including:

Pricing/Loan-Level Price Adjustments

Live pricing options are provided for high-balance mortgage loan transactions in Fannie Mae’s whole loan committing application. Specific additional LLPAs apply to all high-balance mortgage loans, whether delivered under whole loan commitments or MBS contracts. High-balance mortgage loans are also subject to all other applicable LLPAs. All price adjustments are cumulative. For details, see the Loan-Level Price Adjustment (LLPA) Matrix.

Mortgage Insurance Requirements

Mortgage insurance coverage is required for high-balance mortgage loans with LTV ratios greater than 80%. Financed borrower-purchased mortgage insurance is permitted; however, the maximum gross LTV (after the inclusion of the financed premium) cannot exceed 95%.

Delivery Data Requirements Including Special Feature Codes

The lender must report SFC 808 when delivering a high-balance loan to Fannie Mae, except for government loans and unless otherwise instructed. All other applicable SFCs must also be reported as required for the transaction.

Recent Related Announcements

The table below provides references to recently issued Announcements that are related to this topic.

Announcements Issue Date
Announcement SEL-2023-01 February 01, 2023
Announcement SEL-2022-03 April 06, 2022