source:
  type: regulation
  id: fhlmc-4202.2
  authority: Freddie Mac Single-Family Seller/Servicer Guide §4202.2 — Specific Mortgage types and regulations (02/04/26)
  description: "Freddie Mac Guide §4202.2 (Specific Mortgage types and regulations). Gap-fill (verbatim, ID-diff).\
    \ \n"
obligations:
- id: fhlmc-4202.2-0
  canonical_id: fhlmc-4202.2-0
  section: Freddie Mac Guide 4202.2
  description: '4202.2 Specific Mortgage types and regulations: (02/04/26) This section contains requirements related
    to: ■ Home Ownership and Equity Protection Act of 1994 (HOEPA) Mortgages ■ Higher-Priced Mortgage Loans (HPMLs)
    and Higher-Priced Covered Transactions (HPCTs) ■ ATR/QM Rule eligibility and compliance (a) HOEPA Mortgages
    For Pr…'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §4202.2 — Specific Mortgage types and regulations
      (02/04/26)
    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: '(02/04/26) This section contains requirements related to: ■ Home Ownership and Equity Protection
      Act of 1994 (HOEPA) Mortgages ■ Higher-Priced Mortgage Loans (HPMLs) and Higher-Priced Covered Transactions
      (HPCTs) ■ ATR/QM Rule eligibility and compliance (a) HOEPA Mortgages For Primary Residences, purchase transaction
      Mortgages and refinance Mortgages that exceed the thresholds under HOEPA and its implementing regulations
      are ineligible for purchase by Freddie Mac. (b) HPMLs and HPCTs For Mortgages with Application Received Dates
      on or after October 15, 2014, Freddie Mac will purchase HPMLs and HPCTs, as defined in the Glossary, under
      the terms of the Purchase Documents and this section. HPMLs and HPCTs eligible for sale to Freddie Mac must
      be one of the following Mortgage Products: ■ A fixed-rate Mortgage ■ An ARM with an Initial Period of five,
      seven or 10 years For additional information regarding Freddie Mac HPML and HPCT requirements, see the following:'
    drafter_attestation: Verbatim from Freddie Guide §4202.2 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-4202.2-1
  canonical_id: fhlmc-4202.2-1
  section: Freddie Mac Guide 4202.2
  description: '4202.2 Specific Mortgage types and regulations: 202-6 Additional information regarding Freddie Mac
    HPML and HPCT requirements Topic Guide location Compliance with applicable law Section 1301.2 Compliance with
    law Section 4202.1(a) Refi Possible® Mortgages Chapter 4302 Freddie Mac Enhanced Relief Refinance® Mortgages
    Chapter 43…'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §4202.2 — Specific Mortgage types and regulations
      (02/04/26)
    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: '202-6 Additional information regarding Freddie Mac HPML and HPCT requirements Topic Guide
      location Compliance with applicable law Section 1301.2 Compliance with law Section 4202.1(a) Refi Possible®
      Mortgages Chapter 4302 Freddie Mac Enhanced Relief Refinance® Mortgages Chapter 4304 General ARM eligibility
      requirements Section 4401.1 Underwriting requirements for ARMs Section 4401.2 (c) ATR/QM Rule eligibility
      and compliance This section provides the requirements related to the ATR/QM Rule and specifies which Mortgages
      Freddie Mac will purchase and under what conditions those Mortgages will be purchased. Note: For ATR Covered
      Mortgages originated under the GSE Patch, Construction One- Time Close Construction to Permanent Mortgages
      with Application Received Dates prior to July 1, 2021 and Settlement Dates before March 1, 2022 are eligible
      for sale to Freddie Mac if originated in accordance with the GSE Patch. (i) Definitions related to the ATR/QM
      Rule The following table contains Glossary definitions related to the ATR/QM Rule and are incorporated within
      this section for ease of use: Glossary definitions related to the ATR/QM Rule A ATR Covered Mortgage An ATR
      Covered Mortgage is a consumer credit transaction secured by a dwelling that is covered by the ATR/QM Rule
      and is not an Exempt Mortgage. ATR/QM Rule Regulation Z’s Ability to Repay (ATR) rule (12 C.F.R. § 1026.43)
      that implements the Truth in Lending Act’s provisions requiring a creditor to determine a Borrower’s ability
      to repay a Mortgage loan. QMs are a subset of loans under the ATR requirements.'
    drafter_attestation: Verbatim from Freddie Guide §4202.2 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-4202.2-2
  canonical_id: fhlmc-4202.2-2
  section: Freddie Mac Guide 4202.2
  description: '4202.2 Specific Mortgage types and regulations: 202-7 Glossary definitions related to the ATR/QM
    Rule E Exempt Mortgage There are two classifications of Exempt Mortgages, as follows: ■ TILA Exempt Mortgage:
    A TILA Exempt Mortgage is a Mortgage exempt from TILA and, as such, is exempt from the ATR requirements in Regulation
    Z. …'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §4202.2 — Specific Mortgage types and regulations
      (02/04/26)
    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: '202-7 Glossary definitions related to the ATR/QM Rule E Exempt Mortgage There are two classifications
      of Exempt Mortgages, as follows: ■ TILA Exempt Mortgage: A TILA Exempt Mortgage is a Mortgage exempt from
      TILA and, as such, is exempt from the ATR requirements in Regulation Z. TILA Exempt Mortgages include business
      purpose loans as defined in 12 C.F.R. § 1026.3. ■ ATR Exempt Mortgage: An ATR Exempt Mortgage is a Mortgage
      that is exempt from the ATR requirements in Regulation Z as set forth in 12 C.F.R. § 1026.43(a)(3) G GSE Patch
      GSE Patch refers to the Consumer Financial Protection Bureau (CFPB) temporary QM rule definition in Regulation
      Z, 12 C.F.R. § 1026.43(e)(4), that became effective January 10, 2014, under which Mortgages were considered
      to be QMs if they satisfied certain requirements and were eligible for purchase by Freddie Mac. P PSPA Amended
      Senior Preferred Stock Purchase Agreement by and between Freddie Mac and the Treasury. Q QM A qualified mortgage
      as defined in the ATR/QM Rule. R Revised General QM Rule Revised General QM Rule refers to the CFPB QM rule
      in Regulation Z, 12 C.F.R. § 1026.43(e)(2) that became effective on March 1, 2021.'
    drafter_attestation: Verbatim from Freddie Guide §4202.2 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-4202.2-3
  canonical_id: fhlmc-4202.2-3
  section: Freddie Mac Guide 4202.2
  description: '4202.2 Specific Mortgage types and regulations: 202-8 (ii) Eligibility requirements for ATR Covered
    Mortgages and Exempt Mortgages (A) ATR Covered Mortgages All ATR Covered Mortgages must meet the requirements
    of the Revised General QM Rule. Revised General QM Rule Requirement reference summary1 Regulatory reference2
    Requireme…'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §4202.2 — Specific Mortgage types and regulations
      (02/04/26)
    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: '202-8 (ii) Eligibility requirements for ATR Covered Mortgages and Exempt Mortgages (A) ATR
      Covered Mortgages All ATR Covered Mortgages must meet the requirements of the Revised General QM Rule. Revised
      General QM Rule Requirement reference summary1 Regulatory reference2 Requirement 1026.43(e)(2)(i) Mortgage
      must be fully amortizing with regular periodic payments that are substantially equal and that do not result
      in an increase of the principal balance or allow the Borrower to defer repayment of principal. 1026.43(e)(2)(ii)
      Mortgage term cannot exceed 30 years. 1026.43(e)(2)(iii) Mortgage must not exceed the applicable points and
      fees limitations specified in the Revised General QM Rule. 1026.43(e)(2)(iv) The monthly payment for Mortgage-related
      obligations must be taken into account when underwriting the Mortgage using: ■ The maximum interest rate that
      may apply during the first five years after the date on which the first regular periodic payment will be due
      ■ Periodic payments of principal and interest that will repay the loan amount over the loan term 1026.43(e)(2)(v)
      Mortgage must meet consider and verify requirements specified in the ATR/QM Rule. 1026.43(e)(2)(vi) Mortgage
      must not equal or exceed the applicable APR-APOR QM spread thresholds specified in the Revised General QM
      Rule. 1 Chart is included for illustrative purposes only. Sellers remain responsible for compliance with all
      aspects of the ATR/QM Rule, including the Revised General QM Rule requirements. 2 Regulatory section references
      are to the Revised General QM Rule at 12 C.F.R. § 1026.43.'
    drafter_attestation: Verbatim from Freddie Guide §4202.2 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-4202.2-4
  canonical_id: fhlmc-4202.2-4
  section: Freddie Mac Guide 4202.2
  description: '4202.2 Specific Mortgage types and regulations: 202-9 (B) Exempt Mortgages Exempt Mortgages are
    not subject to the Revised General QM Rule; however, they must meet: ■ Points and fees limitations set forth
    below for Exempt Mortgages; and ■ Annual percentage rate (APR)/average prime offer rate (APOR) threshold limitations
    set fo…'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §4202.2 — Specific Mortgage types and regulations
      (02/04/26)
    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: '202-9 (B) Exempt Mortgages Exempt Mortgages are not subject to the Revised General QM Rule;
      however, they must meet: ■ Points and fees limitations set forth below for Exempt Mortgages; and ■ Annual
      percentage rate (APR)/average prime offer rate (APOR) threshold limitations set forth below for Exempt Mortgages
      Sellers are responsible for determining whether the Mortgage is an Exempt Mortgage. (iii) Points and fees
      limitations (A) Points and fees limitations for ATR Covered Mortgages ATR Covered Mortgages with points and
      fees exceeding 3% of the total loan amount (or such other applicable limits for lower-balance Mortgages) as
      specified under the Truth in Lending Act and its implementing regulations, 12 C.F.R. 1026.43(e)(3), will not
      be eligible for sale to Freddie Mac. Sellers must use the points and fees calculation that is required for
      QMs under the Truth in Lending Act and its implementing regulations that are found at 12 C.F.R. 1026.43(e)(3)
      and 12 C.F.R. § 1026.32(b) to determine compliance with applicable requirements. (B) Points and fees limitations
      for Exempt Mortgages Exempt Mortgages will be eligible for sale to Freddie Mac if the following conditions
      are met: ■ Such Mortgages are exempt from Regulation Z, 12 C.F.R. § 1026.43(a) (ATR Exempt Mortgages) or are
      not subject to the Truth in Lending Act (TILA Exempt Mortgages); and ■ The points and fees do not exceed 5%
      of the total loan amount. Sellers must use the points and fees calculation that is required for high-cost
      Mortgages under HOEPA and its implementing regulations, 12 C.F.R. § 1026.32(b). (iv) APR-APOR threshold limitations
      (A) Permissible spread The permissible spread between the APR and the APOR on the date the interest rate is
      set depends on ATR coverage: ■ ATR Covered Mortgages: The Mortgage’s APR may not exceed the APOR by 2.25 percentage
      points or more or such other applicable threshold as specified in'
    drafter_attestation: Verbatim from Freddie Guide §4202.2 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-4202.2-5
  canonical_id: fhlmc-4202.2-5
  section: Freddie Mac Guide 4202.2
  description: '4202.2 Specific Mortgage types and regulations: 202-10 the Revised General QM Rule for ATR Covered
    Mortgages, calculated in accordance with the provisions of that rule; and ■ Exempt Mortgages: The Mortgage’s
    APR may not exceed the APOR by 6.5 percentage points or more for TILA Exempt and ATR Exempt Mortgages calculated
    in acco…'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §4202.2 — Specific Mortgage types and regulations
      (02/04/26)
    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: '202-10 the Revised General QM Rule for ATR Covered Mortgages, calculated in accordance with
      the provisions of that rule; and ■ Exempt Mortgages: The Mortgage’s APR may not exceed the APOR by 6.5 percentage
      points or more for TILA Exempt and ATR Exempt Mortgages calculated in accordance with the provisions of the
      ATR/QM Rule (B) Short-term ARMs QM APR Calculation For all ARMs with an initial fixed period of five years
      or less that are ATR Covered Mortgages, Sellers must calculate the APR in accordance with the Revised General
      QM Rule. Note: When calculating the APR for APR-APOR threshold purposes for 3/6-Month SOFR and 5/6-Month SOFR
      ARMs that are ATR Covered Mortgages, Sellers must calculate the APR using the maximum interest rate that may
      apply during the first five years after the date on which the first regular periodic payment will be due.
      (v) Term – Interim Construction Financing Sellers must structure any Interim Construction Financing to be
      exempt from the ability to repay provisions of Regulation Z, 12 C.F.R. § 1026.43(a)(3) so that the Mortgage
      term does not exceed 30 years. (vi) Life of loan representation and warranty Sellers are responsible for representations
      and warranties related to requirements set forth in Section 4202.2(c) for the life of the loan, and Freddie
      Mac’s rights to exercise remedies related to violations of these requirements will not be waived. (vii) Determination
      of regulatory compliance with the ATR/QM Rule Freddie Mac will not determine whether a Mortgage, including
      a Mortgage assessed through Loan Product Advisor® or Loan Product Advisor asset and income modeler, or delivered
      through Loan Selling Advisor®, complies with or is exempt from the ATR/QM Rule, including the Revised General
      QM Rule, or whether a Seller’s designation of the status of a Mortgage under the Revised General QM Rule is
      correct. These determinations of compliance with the Revised General QM Rule and other applicable laws are
      the Seller’s responsibility. (viii) Responsible lending In addition to ensuring compliance with applicable
      laws, Sellers must ensure that all ATR Covered Mortgages satisfy the QM requirements of the Revised General
      QM Rule, even'
    drafter_attestation: Verbatim from Freddie Guide §4202.2 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
- id: fhlmc-4202.2-6
  canonical_id: fhlmc-4202.2-6
  section: Freddie Mac Guide 4202.2
  description: '4202.2 Specific Mortgage types and regulations: 202-11 if the Seller is not required by law or regulation
    to comply with the Revised General QM Rule. (ix) Government funded, guaranteed or insured Mortgages Refer to
    Chapter 4205 for government funded, guaranteed or insured Mortgages. (x) Assumptions Sellers must comply with
    the…'
  type: do
  tags:
  - regulator-direct
  - gap-fill
  - fhlmc-guide
  - section-complete
  primary_source:
    tier: 1
    authority: Freddie Mac Single-Family Seller/Servicer Guide §4202.2 — Specific Mortgage types and regulations
      (02/04/26)
    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: '202-11 if the Seller is not required by law or regulation to comply with the Revised General
      QM Rule. (ix) Government funded, guaranteed or insured Mortgages Refer to Chapter 4205 for government funded,
      guaranteed or insured Mortgages. (x) Assumptions Sellers must comply with the Revised General QM Rule with
      respect to a Borrower’s assumption of a Mortgage when the assumption is being used, in whole or in part, to
      acquire title to the Mortgaged Premises or is otherwise an ATR Covered Mortgage. (xi) Other Guide provisions
      related to the ATR/QM Rule Refer to the following Guide provisions for additional information related to ATR/QM
      Rule eligibility and compliance: Guide provisions for additional information related to ATR/QM Rule eligibility
      and compliance Guide provision Guide location Compliance with applicable law Sections 1301.2 and 4202.1(a)
      Representation and warranties Sections 1301.6(a) and 1301.6(c) HPCTs Section 4202.2(b) and Glossary Investment
      quality Mortgage Section 4201.1 Amortization and term Section 4201.1 ARM qualifying rates Section 4401.2 Temporary
      subsidy buydown plans Section 4204.3(a)'
    drafter_attestation: Verbatim from Freddie Guide §4202.2 body (max-gap occurrence), snapshot 5869ee9e606cd4ae;
      substring-verified.
  judgment: false
