source:
  type: guide
  id: fhlmc-9202.2
  authority: Freddie Mac Single-Family Seller/Servicer Guide Section 9202.2 — Mortgage
    and property risk analysis
  description: Freddie Mac Single-Family Seller/Servicer Guide Section 9202.2 — Mortgage
    and property risk analysis.
  coverage_tier: operative
obligations:
- id: fhlmc-9202.2-full
  canonical_id: fhlmc-9202.2-full
  section: Freddie Mac Single-Family Seller/Servicer Guide Section 9202.2 — Mortgage
    and property risk analysis
  type: do
  tags:
  - regulator-direct
  - fhlmc
  - freddie-guide
  - corpus-expansion
  - tier-operative
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide Section 9202.2 — Mortgage
      and property risk analysis
    source_class: fhlmc-guide
    source_url: https://guide.freddiemac.com/ci-guide
    snapshot_id: 5869ee9e606cd4ae
    fetched_at: '2026-05-23T00:27:40Z'
    content_hash: sha256:9a1b23e5024bb369e7a59d36b3702383c11ace68b5d209fdef791bc8f955c637
    paragraph_quote: '9202.2: Mortgage and property risk analysis (09/10/25) This
      section contains requirements related to: ■ Service reconciliation of inconsistencies,
      fraud detection and document authenticity Freddie Mac Single-Family Seller/Servicer
      Guide Chapter 9202 As of 12/17/25 Page 9202-11 ■ Risk of Property Ownership
      ■ Tenant-occupied properties built before 1978 (a) Service reconciliation of
      inconsistencies, fraud detection and document authenticity (i) Reconciling income
      and/or hardship information inconsistencies If, based on the Servicer’s good
      business judgment, the Borrower’s income and/or the hardship information disclosed
      by the Borrower is inconsistent with the income and/or hardship documentation
      provided by the Borrower, the Servicer must attempt to reconcile such inconsistencies.
      The Servicer must also document such material differences in its servicing system.
      (ii) Fraud detection The Servicer must not offer the Borrower a relief or workout
      option if there is reasonable evidence indicating the Borrower submitted false
      or misleading information or otherwise engaged in fraud in connection with the
      request for payment relief. A Servicer must use good business judgment in determining
      whether the evidence is reasonably indicative of a Borrower’s intentional misrepresentation
      or submission of false or misleading information. Refer to Section 3201.2 for
      reporting requirements related to the discovery of fraud or possible fraud on
      a Mortgage. (iii)Document authenticity A Servicer must use good business judgment
      when determining whether verification documents are authentic and accurate,
      and allow the Servicer to underwrite the Borrower in accordance with the requirements
      of this Guide. A Servicer may elect to accept documentation with imperfections
      (blank fields, erasures, use of correction tape, inaccurate dates, etc.) if
      the Servicer determines that the imperfections are immaterial to the eligibility
      decision, are not indicative of fraud and do not impact the Servicer’s ability
      to verify the completeness and accuracy of the Borrower’s financial representations.
      (b) Risk of Property Ownership Risk of Property Ownership exists when there
      is a risk of liability to Freddie Mac if Freddie Mac becomes the owner of the
      property. For example, there is Risk of Property Ownership if the condition
      of the Mortgaged Premises, or its immediate surroundings, pose a threat to the
      health or safety of a property owner (e.g., condemnation), or there is otherwise
      a situation or presence that is exigent or atypical that would cause a potential
      property owner to incur extraordinary risk of liability if it becomes the owner
      of the property. The Servicer must review the property inspection reports that
      the Servicer receives to determine if a Risk of Property Ownership exists. Refer
      to Sections 8403.1(a) and 8403.1(b) Freddie Mac Single-Family Seller/Servicer
      Guide Chapter 9202 As of 12/17/25 Page 9202-12 for the requirements for managing
      a property securing a Mortgage identified as posing a Risk of Property Ownership.
      (c) Tenant-occupied properties built before 1978 Before considering a deed-in-lieu
      of foreclosure on a tenant-occupied property built before 1978, if the Servicer
      is aware of, or becomes aware of, any outstanding lead-based paint or health
      code citations or violations against the property or property owner, it must
      notify Freddie Mac (see Directory 5), and include a copy of the citation or
      violation and any other pertinent information. After reviewing the documentation,
      Freddie Mac will provide the Servicer with instructions on the course of the
      action to take. 9202.3: Property inspections and abandonment (09/10/25) This
      section contains requirements related to: ■ What is a property inspection? ■
      Documenting property inspections ■ When to order a property inspection ■ Results
      of property inspection ■ Reimbursement of property inspections (a) What is a
      property inspection? Except when an interior inspection is required (see Section
      9202.3(c)(iii)), a property inspection is an exterior inspection of the property
      to determine: 1. The condition of the property 2. If there is any waste, deterioration
      or vandalism 3. The occupancy status 4. If the property has been abandoned 5.
      If the property is listed for sale Freddie Mac Single-Family Seller/Servicer
      Guide Chapter 9202 As of 12/17/25 Page 9202-13 6. If there are obvious environmental
      hazards 7. If there is deferred maintenance or there are health and safety problems.
      The property is considered to have deferred maintenance when the Borrower has
      allowed the property condition to deteriorate to a point where general maintenance
      items such as trash removal, painting, yard work and general repairs have not
      been performed. 8. If visible asset preservation is needed (b) Documenting property
      inspections (i) Form to use A Servicer must document each inspection of the
      property with an inspection report that is prepared on Form 1013, 1-4 Unit Property
      Inspection Report, or a substitute report. The substitute report can be the
      Servicer’s proprietary form or a form the inspection company performing the
      inspection prepares, including a computer-generated or automated form. The substitute
      form must contain all of the data elements on Form 1013. (ii) Retaining inspection
      reports The Servicer must retain the inspection reports in the Mortgage file
      or other form of data storage for the same period of time that it retains the
      Mortgage file. (c) When to order a property inspection The Mortgaged Premises
      must be inspected in accordance with the requirements below to determine the
      physical condition and occupancy status. The Servicer may use a third party
      to conduct property inspections. (i) Inspection dates The Servicer must order
      a property inspection on or after the 90th day of Delinquency and obtain the
      complete inspection report by the 120th day of Delinquency. The Servicer must
      continue to obtain a newly completed property inspection report every calendar
      month. No two reports may be completed within a 20-day period while the Mortgage
      remains 90 days or more delinquent. However, weekly and biweekly ordinance-required
      property inspections (reimbursable under expense codes 404016 and 404017) are
      exempt from the 20-day limitation. (ii) Discontinuance of property inspections
      The Servicer must discontinue obtaining newly-completed property inspection
      reports when or upon: Freddie Mac Single-Family Seller/Servicer Guide Chapter
      9202 As of 12/17/25 Page 9202-14 ■ The Servicer has achieved quality right party
      contact within the last 30 days ■ The Borrower has made a full P&I payment within
      the last 30 days ■ The Borrower has been approved for, or is performing under
      the terms of a reinstatement, relief option, or workout option ■ The Borrower
      has filed for bankruptcy and is performing under the applicable bankruptcy plan,
      or where otherwise performing a property inspection would be considered a violation
      of the automatic stay provision ■ The Servicer has successfully reported the
      foreclosure sale date or the deed-in-lieu of foreclosure via Resolve® pursuant
      to Section 9603.1(a); or ■ The property is sold to a third party at the foreclosure
      sale and the foreclosure action is complete. (Note that, depending upon the
      jurisdiction, a foreclosure action may not be complete until the sale is confirmed
      or ratified.) If the property is found to be vacant or if the occupancy is unknown,
      property inspections must continue as long as the Mortgage remains 90 or more
      days delinquent regardless of the Servicer achieving quality right party contact
      or a prospective resolution to the Delinquency. In the event that extenuating
      circumstances cause property inspection delays, Servicers are instructed to
      document the mortgage file explaining the cause of the delays. (iii)Curbside
      inspections Freddie Mac does not generally consider a curbside or “drive-by”
      property inspection to be a sufficient exterior property inspection. However,
      Freddie Mac will permit a curbside inspection to be performed in the following
      circumstances: ■ Legal constraints due to compliance with federal, State or
      local law, including, but not limited to, an active bankruptcy by the Borrower;
      or ■ Personal danger to the inspector (iv) Abandonment or waste An abandoned
      property is: 1. A property to which the owner has voluntarily and intentionally
      relinquished ownership, claim and control, or 2. As otherwise defined under
      local laws. Factors evidencing abandonment include vacancy, waste, deterioration
      and lack of utilities. Freddie Mac Single-Family Seller/Servicer Guide Chapter
      9202 As of 12/17/25 Page 9202-15 When the Servicer learns that the Mortgaged
      Premises have been abandoned or are in a severe state of deterioration, waste
      or disrepair that warrants a physical condition rating of “poor” on Form 1013,
      1-4 Unit Property Inspection Report, the Servicer must take action as required
      in Section 8403.1 including, but not limited to, ordering a monthly property
      inspection, even if the Mortgage payments are less than 60 days delinquent.
      In addition, if the Mortgaged Premises have been confirmed as abandoned, the
      Servicer must obtain monthly interior inspections, in accordance with the terms
      of the Mortgage documents and applicable law. (v) Property seizure Refer to
      the following Sections for property inspection requirements related to property
      seizure. Additional guidelines related to property seizures Topic Guide location
      Unsolicited disclosure of pre-seizure information Section 8402.1(b) Requested
      disclosure of pre-seizure information Section 8402.1(c) Government notice of
      property seizure to the Servicer Section 8402.2(a) (d) Results of property inspection
      Review the completed inspection report and determine if any further action is
      needed. Results of property inspection IF the property inspection indicated
      that the property is... THEN the Servicer must... Listed for sale ■ Obtain the
      name and telephone number of the listing broker and retain for future use ■
      Enter in its monthly EDR, the date that it became aware that the property was
      listed for sale Vacant and/or not maintained Follow the requirements in Section
      8403.1 (e) Reimbursement of property inspections Freddie Mac Single-Family Seller/Servicer
      Guide Chapter 9202 As of 12/17/25 Page 9202-16 For each property inspection
      completed in accordance with the requirements set forth in Section 9202.3(c),
      Freddie Mac will reimburse the Servicer the lesser of: ■ The actual cost of
      the property inspection ■ The applicable expense limit stated in Exhibit 57,
      1- to 4- Unit Property Approved Expense Amounts Note: Refer to Section 9701.2(d)
      for details regarding the reimbursement of property inspections.'
  judgment: false
