source:
  type: regulation
  id: fhlmc-4405.1
  authority: Freddie Mac Single-Family Seller/Servicer Guide §4405.1 — Energy conservation improvements (05/01/19)
  description: "Freddie Mac Guide §4405.1 (Energy conservation improvements). Gap-fill (verbatim, ID-diff). \n"
obligations:
- id: fhlmc-4405.1-0
  canonical_id: fhlmc-4405.1-0
  section: Freddie Mac Guide 4405.1
  description: '4405.1 Energy conservation improvements: Effective May 1, 2019, this section is deleted. See Chapter
    4606 for requirements for GreenCHOICE Mortgages®.'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §4405.1 — Energy conservation improvements (05/01/19)
    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: Effective May 1, 2019, this section is deleted. See Chapter 4606 for requirements for GreenCHOICE
      Mortgages®.
    drafter_attestation: Verbatim from Freddie Guide §4405.1 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-4405.1-1
  canonical_id: fhlmc-4405.1-1
  section: Freddie Mac Guide 4405.1
  description: '4405.1 Energy conservation improvements: 406-1 Chapter 4406: Mortgages Secured by Properties Subject
    to Resale Restrictions'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §4405.1 — Energy conservation improvements (05/01/19)
    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: '406-1 Chapter 4406: Mortgages Secured by Properties Subject to Resale Restrictions'
    drafter_attestation: Verbatim from Freddie Guide §4405.1 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-4405.1-2
  canonical_id: fhlmc-4405.1-2
  section: Freddie Mac Guide 4405.1
  description: '4405.1 Energy conservation improvements: Eligibility and underwriting requirements for Mortgages
    secured by properties subject to resale restrictions (02/04/26) Mortgages secured by properties subject to resale
    restrictions, including income-based resale restrictions and age-based resale restrictions (such as senior hou…'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §4405.1 — Energy conservation improvements (05/01/19)
    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 and underwriting requirements for Mortgages secured by properties subject to resale
      restrictions (02/04/26) Mortgages secured by properties subject to resale restrictions, including income-based
      resale restrictions and age-based resale restrictions (such as senior housing or units restricted to one or
      more occupants aged 55 and over), are eligible for sale to Freddie Mac provided they meet the requirements
      of this chapter and the Seller’s other Purchase Documents. Note: The requirements of this chapter do not apply
      to resale restrictions related to Community Land Trust Mortgages. See Chapter 4502 for requirements for Community
      Land Trust Mortgages. This section contains requirements related to: ■ Eligible Mortgages ■ Ineligible Mortgages
      ■ Underwriting (a) Eligible Mortgages For Mortgages secured by properties subject to resale restrictions,
      each Mortgage must be a First Lien, conventional Mortgage. (b) Ineligible Mortgages The following Mortgages
      are ineligible for sale to Freddie Mac if the property securing the Mortgage is subject to income-based resale
      restrictions: ■ CHOICERenovation® Mortgages ■ Construction to Permanent Mortgages ■ GreenCHOICE Mortgages®
      ■ Renovation Mortgages'
    drafter_attestation: Verbatim from Freddie Guide §4405.1 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-4405.1-3
  canonical_id: fhlmc-4405.1-3
  section: Freddie Mac Guide 4405.1
  description: '4405.1 Energy conservation improvements: 406-2 Additionally, the following Mortgages are ineligible
    for sale to Freddie Mac if the property securing the Mortgage is subject to income-based resale restrictions
    that terminate upon foreclosure (or expiration of any applicable legally required foreclosure redemption period)…'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §4405.1 — Energy conservation improvements (05/01/19)
    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: '406-2 Additionally, the following Mortgages are ineligible for sale to Freddie Mac if the
      property securing the Mortgage is subject to income-based resale restrictions that terminate upon foreclosure
      (or expiration of any applicable legally required foreclosure redemption period) or recordation of a deed-in-lieu
      of foreclosure: ■ Financed Permanent Buydown Mortgages ■ Freddie Mac Enhanced Relief Refinance® Mortgages
      ■ Government Mortgages ■ Mortgages with capitalized balances (as described in Chapter 4403) ■ Seller-Owned
      Converted Mortgages ■ Seller-Owned Modified Mortgages (c) Underwriting For Mortgages secured by properties
      subject to resale restrictions, the Mortgage must be an Accept Mortgage or a Manually Underwritten Mortgage.'
    drafter_attestation: Verbatim from Freddie Guide §4405.1 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-4405.1-4
  canonical_id: fhlmc-4405.1-4
  section: Freddie Mac Guide 4405.1
  description: '4405.1 Energy conservation improvements: Eligibility and underwriting requirements for Mortgages
    secured by properties subject to resale restrictions (Future effective date 07/01/26) Mortgages secured by properties
    subject to resale restrictions, including income-based resale restrictions and age-based resale restrictio…'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §4405.1 — Energy conservation improvements (05/01/19)
    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 and underwriting requirements for Mortgages secured by properties subject to resale
      restrictions (Future effective date 07/01/26) Mortgages secured by properties subject to resale restrictions,
      including income-based resale restrictions and age-based resale restrictions (such as senior housing or units
      restricted to one or more occupants aged 55 and over), are eligible for sale to Freddie Mac provided they
      meet the requirements of this chapter and the Seller’s other Purchase Documents. Note: The requirements of
      this chapter do not apply to resale restrictions related to Community Land Trust Mortgages. See Chapter 4502
      for requirements for Community Land Trust Mortgages. This section contains requirements related to: ■ Eligible
      Mortgages ■ Ineligible Mortgages ■ Underwriting'
    drafter_attestation: Verbatim from Freddie Guide §4405.1 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-4405.1-5
  canonical_id: fhlmc-4405.1-5
  section: Freddie Mac Guide 4405.1
  description: '4405.1 Energy conservation improvements: 406-3 (a) Eligible Mortgages For Mortgages secured by properties
    subject to resale restrictions, each Mortgage must be a First Lien, conventional Mortgage. (b) Ineligible Mortgages
    The following Mortgages are ineligible for sale to Freddie Mac if the property securing the Mortgag…'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §4405.1 — Energy conservation improvements (05/01/19)
    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: '406-3 (a) Eligible Mortgages For Mortgages secured by properties subject to resale restrictions,
      each Mortgage must be a First Lien, conventional Mortgage. (b) Ineligible Mortgages The following Mortgages
      are ineligible for sale to Freddie Mac if the property securing the Mortgage is subject to income-based resale
      restrictions: ■ CHOICERenovation® Mortgages ■ Construction to Permanent Mortgages ■ GreenCHOICE Mortgages®
      ■ Renovation Mortgages Additionally, the following Mortgages are ineligible for sale to Freddie Mac if the
      property securing the Mortgage is subject to income-based resale restrictions that terminate upon foreclosure
      (or expiration of any applicable legally required foreclosure redemption period) or recordation of a deed-in-lieu
      of foreclosure: ■ Financed Permanent Buydown Mortgages ■ Freddie Mac Enhanced Relief Refinance® Mortgages
      ■ Government Mortgages ■ Seller-Owned Converted Mortgages ■ Seller-Owned Modified Mortgages (c) Underwriting
      For Mortgages secured by properties subject to resale restrictions, the Mortgage must be an Accept Mortgage
      or a Manually Underwritten Mortgage.'
    drafter_attestation: Verbatim from Freddie Guide §4405.1 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-4405.1-6
  canonical_id: fhlmc-4405.1-6
  section: Freddie Mac Guide 4405.1
  description: '4405.1 Energy conservation improvements: Resale restriction requirements for Mortgages secured by
    properties subject to resale restrictions (12/04/24) For Mortgages secured by properties subject to resale restrictions,
    there are no limits on the time period in which the resale restrictions may remain in place on the pro…'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §4405.1 — Energy conservation improvements (05/01/19)
    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: 'Resale restriction requirements for Mortgages secured by properties subject to resale restrictions
      (12/04/24) For Mortgages secured by properties subject to resale restrictions, there are no limits on the
      time period in which the resale restrictions may remain in place on the property. The resale restrictions
      may be in effect (i.e., survive) for a certain number of years or continue in perpetuity. The resale restrictions
      must be binding on current and subsequent property owners, and survive until they are formally removed or
      modified, or terminate automatically in accordance with their terms such as: ■ Upon completion of foreclosure,
      which includes the expiration of any applicable legally required foreclosure redemption period, or recordation
      of a deed-in-lieu of foreclosure, and ■ If necessary, upon recordation of the associated deed transferring
      the property to Freddie Mac or a third-party purchaser Additionally, the resale restrictions must be: ■ In
      compliance with all federal, State and local laws, rules and regulations, and ■ Stated in a separate covenant,
      restriction, easement, or condition in a deed or other instrument executed by or on behalf of the owner of
      the land or property and recorded against that land or property The resale restrictions may be administered
      by a subsidy provider or program administrator. Borrowers must meet any program eligibility requirements established
      by the subsidy provider or program administrator, if applicable. Note: For more information on requirements
      regarding foreclosure redemption periods, see Chapter 9301.'
    drafter_attestation: Verbatim from Freddie Guide §4405.1 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-4405.1-7
  canonical_id: fhlmc-4405.1-7
  section: Freddie Mac Guide 4405.1
  description: '4405.1 Energy conservation improvements: Payment of financial obligation requirements for Mortgages
    secured by properties subject to resale restrictions (12/04/24) If applicable, recurring monthly payments associated
    with the financial subsidy that was provided when the property subject to resale restrictions was purcha…'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §4405.1 — Energy conservation improvements (05/01/19)
    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: Payment of financial obligation requirements for Mortgages secured by properties subject to
      resale restrictions (12/04/24) If applicable, recurring monthly payments associated with the financial subsidy
      that was provided when the property subject to resale restrictions was purchased by the Borrower must be included
      in the monthly housing expense.
    drafter_attestation: Verbatim from Freddie Guide §4405.1 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-4405.1-8
  canonical_id: fhlmc-4405.1-8
  section: Freddie Mac Guide 4405.1
  description: '4405.1 Energy conservation improvements: 406-5 Any term included in the resale restricted covenants
    requiring the owner of a property subject to resale restrictions to make payments under certain circumstances
    or requiring repayment of the financial subsidy, in whole or in part, must state that the payment obligation
    is…'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §4405.1 — Energy conservation improvements (05/01/19)
    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: 406-5 Any term included in the resale restricted covenants requiring the owner of a property
      subject to resale restrictions to make payments under certain circumstances or requiring repayment of the
      financial subsidy, in whole or in part, must state that the payment obligation is subordinate to the First
      Lien Mortgage.
    drafter_attestation: Verbatim from Freddie Guide §4405.1 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-4405.1-9
  canonical_id: fhlmc-4405.1-9
  section: Freddie Mac Guide 4405.1
  description: '4405.1 Energy conservation improvements: Appraisal requirements for Mortgages secured by properties
    subject to resale restrictions (02/04/26) This section contains requirements related to: ■ Appraisal report
    conditions ■ Appraisal reports when resale restrictions survive foreclosure or recordation of a deed-in-lieu
    of f…'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §4405.1 — Energy conservation improvements (05/01/19)
    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: 'Appraisal requirements for Mortgages secured by properties subject to resale restrictions
      (02/04/26) This section contains requirements related to: ■ Appraisal report conditions ■ Appraisal reports
      when resale restrictions survive foreclosure or recordation of a deed-in-lieu of foreclosure ■ Appraisal reports
      when resale restrictions terminate upon foreclosure (or expiration of any applicable legally required foreclosure
      redemption period) or recordation of a deed-in-lieu of foreclosure (a) Appraisal report conditions For properties
      subject to resale restrictions, the appraisal report must: ■ Note the existence of any resale restrictions,
      and ■ Include an analysis that addresses any impact the resale restrictions have on the property’s value or
      marketability Mortgages secured by properties subject to age-based resale restrictions may qualify for automated
      collateral evaluation (ACE) or ACE+ PDR. See Section 5602.3 for details regarding ACE or Section 5602.4 for
      ACE+ PDR. (b) Appraisal reports when resale restrictions survive foreclosure or recordation of a deed- in-lieu
      of foreclosure For Mortgages secured by properties subject to resale restrictions that survive foreclosure
      or recordation of a deed-in-lieu of foreclosure, the appraisal report must: ■ Reflect the impact the resale
      restrictions have on the subject property’s value, and ■ When available, be supported by comparable sales
      with similar resale restrictions If recent comparable sales with similar resale restrictions are not available
      in the Market Area, the appraiser should:'
    drafter_attestation: Verbatim from Freddie Guide §4405.1 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
