source:
  type: guide
  id: fnma-sel-c1-1-01
  authority: Fannie Mae Selling Guide C1-1-01 — Execution Options
  description: Fannie Mae Selling Guide C1-1-01 — Execution Options.
  coverage_tier: operative
obligations:
- id: fnma-sel-c1-1-01-full
  canonical_id: fnma-sel-c1-1-01-full
  section: Fannie Mae Selling Guide C1-1-01 — Execution Options
  type: do
  tags:
  - regulator-direct
  - fnma
  - selling-guide
  - corpus-expansion
  - tier-operative
  primary_source:
    tier: 1
    authority: Fannie Mae Selling Guide C1-1-01 — Execution Options
    source_class: fnma-guide
    source_url: https://singlefamily.fanniemae.com/media/document/pdf/selling-guide
    snapshot_id: 5f7b8b79da595d76
    fetched_at: '2026-05-25T14:09:57Z'
    content_hash: sha256:98cf85a02861bbe84914a0e339b327c8fc131869a8a573882007bbeea60c5701
    paragraph_quote: 'C1-1-01, Execution Options (02/05/2025) Introduction This topic
      provides general information about selling whole loans to Fannie Mae and pooling
      loans into MBS, including: Age of Loan Volume Limitations Whole Loan Commitments
      MBS Commitments Pooling Loans Into a Fannie Mae Trust for MBS Bulk Transactions
      Options Pricing and Fees Loan-Level Price Adjustments Premium Pricing Recapture
      for Whole Loans and Early Payoﬀ Reimbursement for MBS No Assignment of Whole
      Loan or MBS Commitments Age of Loan To be eligible for purchase by Fannie Mae
      on a ﬂow basis, a loan must be no more than six months old measured from the
      ﬁrst payment date to the "Purchase Ready" date (whole loans) or the MBS pool
      issue date (MBS loans). See B2-1.5-02, Loan Eligibility for additional information.
      Published May 6, 2026 926 Volume Limitations In conjunction with Section III.
      D of the Mortgage Selling and Servicing Contract, which provides that Fannie
      Mae is under no obligation to make a commitment to purchase any mortgage or
      participation interest from the lender, the following policies apply with regard
      to volume limitations: Fannie Mae may establish, amend, or cancel any mortgage
      loan volume limitations speciﬁc to a lender, which may be applicable to aggregate
      whole loan deliveries and sales, deliveries and sales in exchange for MBS, or
      both. Fannie Mae may also decline to engage in any speciﬁc transaction with
      a lender. Volume limitations may apply to volumes delivered on a daily, monthly,
      or quarterly basis, or as otherwise determined by Fannie Mae in its sole discretion,
      and any such limitation will supersede any higher daily limitation set forth
      in the Selling Guide ( C2-1.1-03, Mandatory Commitment Terms, Amounts, Periods
      and Other Requirements); will apply even though the mortgage loans comply with
      all applicable provisions of the Selling Guide; and will apply without regard
      to Fannie Mae’s conﬁrmation of any commitment taken by the lender in the whole
      loan or MBS committing application and/or other commitment. Note: Any conﬁrmation
      made while a lender is over any such limitation or that would cause a lender
      to exceed such limitation may, at the option of Fannie Mae, be suspended or
      terminated, and the lender may be required to pair oﬀ such commitment(s). Fannie
      Mae may impose volume limitations at any time, in its sole discretion, with
      no requirement that the lender be in default of any of its obligations under
      the Lender Contract. Fannie Mae’s decision not to impose volume limitations
      against a lender does not mean that Fannie Mae condones any action or inaction
      by the lender, or that Fannie Mae is waiving its right to impose any such limitations
      in the future. Volume limitations will be eﬀective when imposed, unless otherwise
      stated. Whole Loan Commitments Using Fannie Mae’s whole loan committing application,
      lenders can enter into a mandatory or a best eﬀorts commitment to sell whole
      loans to Fannie Mae for cash. With a mandatory commitment, the lender agrees
      to deliver a speciﬁed dollar amount of loans, within certain tolerances, to
      Fannie Mae by a speciﬁed future date. Fannie Mae agrees to purchase those loans
      at an agreed-upon price. If a lender is unable to meet the terms of the agreement,
      it may have to pair oﬀ the commitment, which may require payment to Fannie Mae
      of a fee (called a pair-oﬀ fee) or the transaction may be eligible for a cash
      back pair-oﬀ. See C2-1.1-04, Mandatory Commitment Extensions and Pair-Oﬀs, for
      additional information. With a best eﬀorts commitment, the lender agrees to
      deliver a speciﬁc loan to Fannie Mae by a speciﬁed date if that loan closes.
      If the loan does not close, the lender does not have to pay a fee. However,
      if the loan is closed, the lender must deliver the loan to Fannie Mae. If the
      lender changes the loan status to “Closed” and then does not deliver the loan,
      Fannie Mae may assess a pair-oﬀ fee. For additional information, see Chapter
      C2-1, Mandatory and Best Eﬀorts Commitments to Sell Whole Loans. Published May
      6, 2026 927 MBS Commitments Using Fannie Mae’s MBS committing application, lenders
      can enter into mandatory commitments to sell MBS loans to Fannie Mae. With an
      MBS commitment, the lender agrees to sell a certain volume of mortgage loans
      having a speciﬁed set of loan parameters to Fannie Mae. Fannie Mae provides
      the lender with guaranty fee pricing for such mortgage loans for delivery under
      MBS execution. If a lender is unable to meet the terms of the commitments, it
      has the option to roll or pair oﬀ the commitments, which may require payments
      to Fannie Mae of a fee (referred to as a “roll fee” or “pair-oﬀ fee”). For additional
      information, see C3-2-04, Mandatory MBS Commitments. Pooling Loans Into a Fannie
      Mae Trust for MBS Lenders can obtain pool purchase contracts that enable them
      to sell Fannie Mae pools of loans with similar characteristics. In exchange,
      Fannie Mae will issue an MBS backed by those loans. MBS can be created for either
      swap-and-hold or swap-and-sell transactions. With a swap-and-hold transaction,
      the lender holds the security after it is created; whereas with a swap-and-sell,
      the security is immediately sold to other investors. Minimum submission amounts
      (by aggregate issue date principal balance) required are: ﬁxed-rate mortgage
      loans, single-lender pools: $1 million adjustable-rate mortgage loans, single-lender
      pools: $500,000 Fannie Majors, multiple-lender pools: $1,000. (Fannie Majors
      pools in aggregate must meet the minimum amounts noted above to be opened.)
      For additional information, see Subpart C3, Mortgage Backed Securities. Bulk
      Transactions Options In addition to selling their current production on a ﬂow
      basis, lenders can sell a wide variety of closed loans to Fannie Mae under MBS
      or whole loan transactions. For bulk transactions, lenders must contact their
      Fannie Mae customer account team or the Capital Markets Pricing and Sales Desk
      to determine what type of contract to use for MBS deliveries. Pricing and Fees
      When lenders commit to sell whole loans for cash, Fannie Mae provides a “live”
      price, so named because prices move throughout the day, generally in tandem
      with the MBS market. Live pricing options for mandatory whole loan commitments
      and best eﬀorts commitments are posted within Fannie Mae’s whole loan committing
      application. Lenders that participate in Fannie Mae’s MBS program pay Fannie
      Mae a guaranty fee remittance each month as compensation for the right to do
      so. Factors used to calculate the guaranty fee remittance rate include the Published
      May 6, 2026 928 credit risk of loans included in the pool, the servicing option
      that applies to each loan in the pool, and the remittance cycle that applies
      to the pool. The speciﬁc guaranty fee applicable to an MBS loan is set forth
      in the related MBS commitment between Fannie Mae and the lender. Note: Any pricing
      changes that are directed by Fannie Mae’s regulator will not aﬀect the base
      guaranty fee reﬂected in any existing commitment unless required by the regulator.
      If this occurs, the lender will have the option of canceling any commitments
      that could be aﬀected by the base guaranty fee change, with no pair-oﬀ, roll
      or extension fees due from the lender. Lenders that elect to trade their MBS
      can obtain price indications by contacting Fannie Mae’s Capital Markets Pricing
      and Sales Desk (see E-1-02, List of Contacts) or via various ﬁnancial information
      service providers. Prices are based on pass-through rates, maturities, and other
      factors. Loan-Level Price Adjustments For both whole loan and MBS transactions,
      Fannie Mae may apply one or more loan-level price adjustments (LLPAs) based
      on certain loan-level credit risk characteristics, such as credit score, loan
      purpose, occupancy, number of units, and product type. All LLPAs are cumulative.
      LLPAs are applied according to the following: Whole loans: LLPAs are calculated
      on the "Purchase Ready" date (as reﬂected in Loan Delivery) based on the unpaid
      principal balance of the loan. All applicable LLPAs will be deducted from the
      purchase proceeds. Loans in MBS: LLPAs are calculated on the MBS pool issue
      date based on the pool issue balance. All applicable LLPAs will be drafted from
      the lender''s account designated for that purpose. Fannie Mae may also waive
      LLPAs for certain transactions. Lenders may be eligible for an LLPA refund on
      certain loans repurchased by the lender, as determined by Fannie Mae in its
      sole discretion. The refund will be calculated based on the LLPAs charged at
      acquisition less a processing fee of 50 basis points of the unpaid principal
      balance at acquisition. If the total of all LLPAs paid by the lender for a loan
      is 50 basis points or less, Fannie Mae will not refund the LLPA. The LLPA refunds
      are available only for loans originally delivered as whole loans and repurchased
      within 18 months of acquisition by Fannie Mae. The refunds will be issued to
      the responsible party for the selling representations and warranties as a separate
      transaction (independent from the repurchase transaction) in the month following
      the completion of the repurchase. For a current listing of LLPAs (and waivers),
      see the Loan-Level Price Adjustment (LLPA) Matrix. Premium Pricing Recapture
      for Whole Loans and Early Payoﬀ Reimbursement for MBS With respect to any loan
      that pays oﬀ within 120 days from the whole loan purchase date or the MBS issue
      date, as applicable, Fannie Mae, in its sole discretion, may require reimbursement
      from the lender associated with the purchase of the loan. For a whole loan,
      the reimbursement is the premium, or the amount by which the purchase price
      exceeded the par price (100% of the face value) multiplied by the UPB of the
      loan at the time of purchase. At Fannie Mae’s sole discretion, the reimbursement
      may be reduced by the amount equal to the total of all LLPAs paid in Published
      May 6, 2026 929 connection with delivery of a loan less a processing fee of
      50 basis points based on the UPB at acquisition. For a loan repurchased by a
      lender, Fannie Mae, in its sole discretion, may require reimbursement by the
      lender for any premium paid in connection with the purchase of the related repurchased
      loan without regard to the 120–day limitation. For a loan a lender delivers
      as part of an MBS swap transaction, the early payoﬀ reimbursement will consist
      of 100 basis points (1%) of the loan''s issue balance at the time of securitization
      plus any buyup proceeds paid by Fannie Mae. No Assignment of Whole Loan or MBS
      Commitments For information on assignment of Fannie Mae whole loan or MBS commitments
      see A2-1-01, Contractual Obligations for Sellers/Servicers. Recent Related Announcements
      The table below provides references to recently issued Announcements that are
      related to this topic. Announcements Issue Date Announcement SEL-2025-01 February
      05, 2025 Announcement SEL-2023-06 July 05, 2023 Announcement SEL-2023-01 February
      01, 2023 Announcement SEL-2022-04 May 04, 2022 Announcement SEL-2020-04 August
      05, 2020 Chapter C1-2, Loan Delivery Overview Introduction Many of the “good
      delivery” requirements for delivering loans in fulﬁllment of a whole loan commitment
      diﬀer from those associated with a commitment to pool loans into an MBS. This
      chapter provides information about the delivery requirements that these executions
      have in common. Published May 6, 2026 930'
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