source:
  type: regulation
  id: fhlmc-5601.5
  authority: Freddie Mac Single-Family Seller/Servicer Guide §5601.5 — Eligibility of a property with mixed-use
    (01/26/26)
  description: "Freddie Mac Guide §5601.5 (Eligibility of a property with mixed-use). Gap-fill (verbatim, ID-diff).\
    \ \n"
obligations:
- id: fhlmc-5601.5-0
  canonical_id: fhlmc-5601.5-0
  section: Freddie Mac Guide 5601.5
  description: '5601.5 Eligibility of a property with mixed-use: (01/26/26) Refer to Bulletin 2025-7, which announced
    the policy requirements for Uniform Appraisal Dataset (UAD) 3.6. Sellers may submit to the Uniform Collateral
    Data Portal® appraisal reports that use UAD 3.6 before the mandatory effective November 2, 2026 version of this
    secti…'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §5601.5 — Eligibility of a property with mixed-use
      (01/26/26)
    source_class: gse-guide
    source_url: https://guide.freddiemac.com/
    snapshot_id: 5869ee9e606cd4ae
    fetched_at: '2026-06-18T00:00:00+00:00'
    content_hash: sha256:9a1b23e5024bb369e7a59d36b3702383c11ace68b5d209fdef791bc8f955c637
    paragraph_quote: '(01/26/26) Refer to Bulletin 2025-7, which announced the policy requirements for Uniform Appraisal
      Dataset (UAD) 3.6. Sellers may submit to the Uniform Collateral Data Portal® appraisal reports that use UAD
      3.6 before the mandatory effective November 2, 2026 version of this section. Freddie Mac purchases Mortgages
      secured by residential properties with mixed-use characteristics. This section contains: ■ Eligibility requirements
      ■ Appraiser requirements (a) Eligibility requirements A residential property with mixed-use must meet the
      following requirements: ■ The property must be a 1-unit Primary Residence ■ The property must be located in
      a predominantly residential Neighborhood, be primarily residential in nature based on the characteristics
      of the property and be typical for the properties in the Market Area ■ The mixed-use must represent a legal,
      permissible use of the property under the local zoning requirements ■ If the property has a commercial use,
      the Borrower must be the owner and the operator of the business'
    drafter_attestation: Verbatim from Freddie Guide §5601.5 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-5601.5-1
  canonical_id: fhlmc-5601.5-1
  section: Freddie Mac Guide 5601.5
  description: '5601.5 Eligibility of a property with mixed-use: 601-23 ■ The dwelling may not be modified in a
    manner that has an adverse impact on its marketability as a residence ■ The commercial use must not have an
    adverse effect on the habitability and safety of the property or site (b) Appraiser requirements The appraiser
    must provide t…'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §5601.5 — Eligibility of a property with mixed-use
      (01/26/26)
    source_class: gse-guide
    source_url: https://guide.freddiemac.com/
    snapshot_id: 5869ee9e606cd4ae
    fetched_at: '2026-06-18T00:00:00+00:00'
    content_hash: sha256:9a1b23e5024bb369e7a59d36b3702383c11ace68b5d209fdef791bc8f955c637
    paragraph_quote: '601-23 ■ The dwelling may not be modified in a manner that has an adverse impact on its marketability
      as a residence ■ The commercial use must not have an adverse effect on the habitability and safety of the
      property or site (b) Appraiser requirements The appraiser must provide the following when appraising a mixed-use
      property: ■ An appraisal with an interior and exterior inspection ■ A detailed description of any accommodations
      made for the commercial use of the subject property ■ A discussion of any positive or adverse impacts of the
      commercial use and whether the cost to restore the property to solely residential use will affect its value
      ■ A statement describing any market resistance to the commercial use and adjustments for any commercial features
      made to the comparable sales ■ An opinion of market value based on the property’s residential nature Note:
      See Section 5701.8(b)(ii) for Condominium Unit live-work requirements.'
    drafter_attestation: Verbatim from Freddie Guide §5601.5 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-5601.5-2
  canonical_id: fhlmc-5601.5-2
  section: Freddie Mac Guide 5601.5
  description: '5601.5 Eligibility of a property with mixed-use: Eligibility of a property with mixed-use (Future
    effective date 11/02/26) Freddie Mac purchases Mortgages secured by residential properties with mixed-use characteristics.
    This section contains: ■ Eligibility requirements ■ Appraisal report requirements (a) Eligibility requiremen…'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §5601.5 — Eligibility of a property with mixed-use
      (01/26/26)
    source_class: gse-guide
    source_url: https://guide.freddiemac.com/
    snapshot_id: 5869ee9e606cd4ae
    fetched_at: '2026-06-18T00:00:00+00:00'
    content_hash: sha256:9a1b23e5024bb369e7a59d36b3702383c11ace68b5d209fdef791bc8f955c637
    paragraph_quote: 'Eligibility of a property with mixed-use (Future effective date 11/02/26) Freddie Mac purchases
      Mortgages secured by residential properties with mixed-use characteristics. This section contains: ■ Eligibility
      requirements ■ Appraisal report requirements (a) Eligibility requirements A residential property with mixed-use
      must meet the following requirements: ■ The property must be a 1-unit Primary Residence ■ The property must
      be located in a predominantly residential Neighborhood, be primarily residential in nature based on the characteristics
      of the property and be typical for the properties in the Market Area'
    drafter_attestation: Verbatim from Freddie Guide §5601.5 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-5601.5-3
  canonical_id: fhlmc-5601.5-3
  section: Freddie Mac Guide 5601.5
  description: '5601.5 Eligibility of a property with mixed-use: 601-24 ■ The mixed-use must represent a legal,
    permissible use of the property under the local zoning requirements ■ If the property has a commercial use,
    the Borrower must be the owner and the operator of the business ■ The dwelling may not be modified in a manner
    that has an ad…'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §5601.5 — Eligibility of a property with mixed-use
      (01/26/26)
    source_class: gse-guide
    source_url: https://guide.freddiemac.com/
    snapshot_id: 5869ee9e606cd4ae
    fetched_at: '2026-06-18T00:00:00+00:00'
    content_hash: sha256:9a1b23e5024bb369e7a59d36b3702383c11ace68b5d209fdef791bc8f955c637
    paragraph_quote: '601-24 ■ The mixed-use must represent a legal, permissible use of the property under the local
      zoning requirements ■ If the property has a commercial use, the Borrower must be the owner and the operator
      of the business ■ The dwelling may not be modified in a manner that has an adverse impact on its marketability
      as a residence ■ The commercial use must not have an adverse effect on the habitability and safety of the
      property or site (b) Appraisal report requirements The Seller must deliver a Traditional Appraisal Report
      or Hybrid Appraisal Report that includes: ■ The type(s) of non-residential use observed on the property ■
      Identification of whether the use is adverse, beneficial or neutral. If the use is adverse or beneficial,
      a description of the impact to value or marketability is required ■ Commentary related to whether the cost
      to restore the property to solely residential use will affect its value ■ Commentary describing any market
      resistance to the commercial use ■ Adjustments to the comparable sales related to the commercial use ■ An
      opinion of market value based on the property’s residential use Note: See Section 5701.8(b)(ii) for Condominium
      Unit live-work requirements.'
    drafter_attestation: Verbatim from Freddie Guide §5601.5 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-5601.5-4
  canonical_id: fhlmc-5601.5-4
  section: Freddie Mac Guide 5601.5
  description: '5601.5 Eligibility of a property with mixed-use: Eligibility of a property with two or more adjoining
    parcels (01/26/26) Refer to Bulletin 2025-7, which announced the policy requirements for Uniform Appraisal Dataset
    (UAD) 3.6. Sellers may submit to the Uniform Collateral Data Portal® appraisal reports that use UAD 3.6 before
    t…'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §5601.5 — Eligibility of a property with mixed-use
      (01/26/26)
    source_class: gse-guide
    source_url: https://guide.freddiemac.com/
    snapshot_id: 5869ee9e606cd4ae
    fetched_at: '2026-06-18T00:00:00+00:00'
    content_hash: sha256:9a1b23e5024bb369e7a59d36b3702383c11ace68b5d209fdef791bc8f955c637
    paragraph_quote: 'Eligibility of a property with two or more adjoining parcels (01/26/26) Refer to Bulletin
      2025-7, which announced the policy requirements for Uniform Appraisal Dataset (UAD) 3.6. Sellers may submit
      to the Uniform Collateral Data Portal® appraisal reports that use UAD 3.6 before the mandatory effective November
      2, 2026 version of Section 5605.4. When the Mortgaged Premises includes two or more parcels of real estate,
      the following requirements apply:'
    drafter_attestation: Verbatim from Freddie Guide §5601.5 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-5601.5-5
  canonical_id: fhlmc-5601.5-5
  section: Freddie Mac Guide 5601.5
  description: '5601.5 Eligibility of a property with mixed-use: 601-25 ■ The parcels must be adjoining. Exception:
    Parcels that would otherwise be adjoined but are separated by a road (e.g., a waterfront property where the
    parcel without the residence offers access to the water) are eligible if the parcel without the residence is
    non-buildabl…'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §5601.5 — Eligibility of a property with mixed-use
      (01/26/26)
    source_class: gse-guide
    source_url: https://guide.freddiemac.com/
    snapshot_id: 5869ee9e606cd4ae
    fetched_at: '2026-06-18T00:00:00+00:00'
    content_hash: sha256:9a1b23e5024bb369e7a59d36b3702383c11ace68b5d209fdef791bc8f955c637
    paragraph_quote: '601-25 ■ The parcels must be adjoining. Exception: Parcels that would otherwise be adjoined
      but are separated by a road (e.g., a waterfront property where the parcel without the residence offers access
      to the water) are eligible if the parcel without the residence is non-buildable but may include non-residential
      improvements such as a garage or dock and the Seller provides evidence in the Mortgage file that the parcel
      without the residence cannot be improved with a dwelling. ■ The Mortgaged Premises must contain only one residence.
      (An ADU is allowed only on the parcel that contains the residence if the eligibility requirements of Section
      5601.2 are met.) ■ The Mortgage must be a valid First Lien on each parcel ■ Each parcel must have the same
      basic zoning (e.g., residential or agricultural) ■ Each parcel must be conveyed in its entirety ■ The site
      description must accurately describe the land and any improvements included on each of the parcels ■ The residence
      or improvements may be built across the lot lines ■ Non-residential improvements such as garages or outbuildings
      are acceptable on any parcel In addition, the appraiser must consider how the existence of two or more parcels,
      adjoining or not, influence the value use and marketability of the property.'
    drafter_attestation: Verbatim from Freddie Guide §5601.5 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-5601.5-6
  canonical_id: fhlmc-5601.5-6
  section: Freddie Mac Guide 5601.5
  description: '5601.5 Eligibility of a property with mixed-use: Eligibility of a property with two or more adjoining
    parcels (Future effective date 11/02/26) Effective November 2, 2026, Section 5601.6 is deleted. See Section
    5605.4 for information related to eligibility of a property with two or more adjoining parcels.'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §5601.5 — Eligibility of a property with mixed-use
      (01/26/26)
    source_class: gse-guide
    source_url: https://guide.freddiemac.com/
    snapshot_id: 5869ee9e606cd4ae
    fetched_at: '2026-06-18T00:00:00+00:00'
    content_hash: sha256:9a1b23e5024bb369e7a59d36b3702383c11ace68b5d209fdef791bc8f955c637
    paragraph_quote: Eligibility of a property with two or more adjoining parcels (Future effective date 11/02/26)
      Effective November 2, 2026, Section 5601.6 is deleted. See Section 5605.4 for information related to eligibility
      of a property with two or more adjoining parcels.
    drafter_attestation: Verbatim from Freddie Guide §5601.5 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-5601.5-7
  canonical_id: fhlmc-5601.5-7
  section: Freddie Mac Guide 5601.5
  description: '5601.5 Eligibility of a property with mixed-use: Seller verification of subject property Owner of
    Record (05/06/26) This section contains requirements related to: ■ Verifying the Owner of Record ■ Investigating
    and documenting Owner of Record discrepancies'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §5601.5 — Eligibility of a property with mixed-use
      (01/26/26)
    source_class: gse-guide
    source_url: https://guide.freddiemac.com/
    snapshot_id: 5869ee9e606cd4ae
    fetched_at: '2026-06-18T00:00:00+00:00'
    content_hash: sha256:9a1b23e5024bb369e7a59d36b3702383c11ace68b5d209fdef791bc8f955c637
    paragraph_quote: 'Seller verification of subject property Owner of Record (05/06/26) This section contains requirements
      related to: ■ Verifying the Owner of Record ■ Investigating and documenting Owner of Record discrepancies'
    drafter_attestation: Verbatim from Freddie Guide §5601.5 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-5601.5-8
  canonical_id: fhlmc-5601.5-8
  section: Freddie Mac Guide 5601.5
  description: '5601.5 Eligibility of a property with mixed-use: 601-26 (a) Verifying the Owner of Record The Seller
    must verify the information outlined in the table below: Owner of Record verification by transaction type Transaction
    type The Seller must verify: Purchase ■ The property seller listed on the sales contract is the Owner of Recor…'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §5601.5 — Eligibility of a property with mixed-use
      (01/26/26)
    source_class: gse-guide
    source_url: https://guide.freddiemac.com/
    snapshot_id: 5869ee9e606cd4ae
    fetched_at: '2026-06-18T00:00:00+00:00'
    content_hash: sha256:9a1b23e5024bb369e7a59d36b3702383c11ace68b5d209fdef791bc8f955c637
    paragraph_quote: '601-26 (a) Verifying the Owner of Record The Seller must verify the information outlined in
      the table below: Owner of Record verification by transaction type Transaction type The Seller must verify:
      Purchase ■ The property seller listed on the sales contract is the Owner of Record of the subject property;
      or ■ If the transaction involves the sale of land separate from the dwelling, the property seller listed on
      the sales contract for the land is the Owner of Record for the land Refinance The Borrower is an Owner of
      Record of the subject property. Payoff of a land contract ■ The property seller is the vendor on the recorded
      land contract and the Owner of Record of the subject property; and ■ The Borrower is a vendee on the recorded
      land contract (b) Investigating and documenting Owner of Record discrepancies If the property seller for purchase
      transactions or the Borrower for refinance transactions is not the Owner of Record, the Seller must investigate
      the circumstances of the transaction to ensure the transaction is legitimate. If the Seller determines the
      transaction is legitimate, the Seller must retain in the Mortgage file documentation evidencing the verification
      or legitimacy of the transaction, which may include: ■ The appraiser’s analysis and conclusions in the appraisal
      report ■ A property sales history report ■ A copy of the recorded deed ■ A copy of a property tax bill ■ A
      copy of property title information indicating legal ownership of the property (e.g., title property report
      summary, title commitment or binder, attorney opinion of title letter)'
    drafter_attestation: Verbatim from Freddie Guide §5601.5 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-5601.5-9
  canonical_id: fhlmc-5601.5-9
  section: Freddie Mac Guide 5601.5
  description: '5601.5 Eligibility of a property with mixed-use: 602-1 Chapter 5602: Collateral Representations
    and Warranties, Loan Collateral Advisor® and Automated Collateral Evaluation (ACE and ACE+ PDR)'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §5601.5 — Eligibility of a property with mixed-use
      (01/26/26)
    source_class: gse-guide
    source_url: https://guide.freddiemac.com/
    snapshot_id: 5869ee9e606cd4ae
    fetched_at: '2026-06-18T00:00:00+00:00'
    content_hash: sha256:9a1b23e5024bb369e7a59d36b3702383c11ace68b5d209fdef791bc8f955c637
    paragraph_quote: '602-1 Chapter 5602: Collateral Representations and Warranties, Loan Collateral Advisor® and
      Automated Collateral Evaluation (ACE and ACE+ PDR)'
    drafter_attestation: Verbatim from Freddie Guide §5601.5 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
