New Freddie Mac Bulletin Addresses Several Title Insurance Issues

December 14, 2004

Bulletin 2004-5 (dated 12/14/04) Topics:

  • Increasing the maximum original loan amounts for Home Mortgages eligible for sale to Freddie Mac
  • Expanding functionality of the Freddie Mac Selling System (Selling System) by adding fixed-rate Guarantor program capabilities
  • Updating the Single-Family Seller/Servicer Guide (Guide) to provide revised income limits for Affordable Gold® Mortgages and to refer to an “Underserved Area” instead of a “Concentrated Area” to describe those limits. We are also providing instructions on how to determine income eligibility.
  • Updating Guide language to reflect the retirement of the Gold Cash Xtra® (GCX) software system
  • Providing Sellers with direction on how to include title policy endorsements when using an American Land Title Association (ALTA) short form title policy
  • Providing Guide replacement pages supporting the revisions to our requirements in response to the passage of antipredatory lending legislation in Massachusetts, as announced in our October 1 Industry Letter
  • Revising contact information on the Form 987, Wire Transfer Authorization for a Cash Warehouse Delivery, and the Form 996, Warehouse Lender Release of Security Interest
  • Revising Exhibit 57, 1–4 Unit Property Approved Expense Amounts, to increase allowable fees for title work in Utah

Contact ALTA at 202-296-3671 or

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