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

North American Title Insurance Company (NATIC) is a seasoned title insurance underwriter, helping title agents to achieve their individual business goals for more than 50 years. Today, the company conducts real estate settlement services in 39 states and the District of Columbia through a network of experienced, independent agents.