source:
  type: guide
  id: fnma-svc-e-4.2-02
  authority: Fannie Mae Servicing Guide E-4.2-02 — Handling Reconveyance to the Insurer
    or Guarantor
  description: Fannie Mae Servicing Guide E-4.2-02 — Handling Reconveyance to the
    Insurer or Guarantor.
  coverage_tier: operative
obligations:
- id: fnma-svc-e-4.2-02-full
  canonical_id: fnma-svc-e-4.2-02-full
  section: Fannie Mae Servicing Guide E-4.2-02 — Handling Reconveyance to the Insurer
    or Guarantor
  type: do
  tags:
  - regulator-direct
  - fnma
  - servicing-guide
  - corpus-expansion
  - tier-operative
  primary_source:
    tier: 1
    authority: Fannie Mae Servicing Guide E-4.2-02 — Handling Reconveyance to the
      Insurer or Guarantor
    source_class: fnma-guide
    source_url: https://singlefamily.fanniemae.com/media/document/pdf/servicing-guide
    snapshot_id: cf63a82bbb4adfba
    fetched_at: '2026-05-22T23:53:19Z'
    content_hash: sha256:89df66c43baad07f8a8dd9d224492fff7d15e8839edba02ad0e74c7e50fe5da3
    paragraph_quote: E-4.2-02, Handling Reconveyance to the Insurer or Guarantor (08/17/2016)
      Custody of the property must be turned over to FHA, VA, or the mortgage insurer
      as soon as possible after their requirements for conveying properties have been
      met. (Also see Selling Guide A3-2-01, Compliance with Laws.) When FHA or the
      VA does not accept a property that the servicer conveys, the servicer must determine
      why the property was reconveyed to Fannie Mae. If FHA's or VA's reasons for
      not accepting the property can still be resolved, the servicer must take any
      action required to correct the matter and then reconvey the property to FHA
      or VA. Failure to do so may result in Fannie Mae electing a repurchase, a make
      whole payment, or an indemniﬁcation payment (see A1-3-02, Fannie Mae-Initiated
      Repurchases, Indemniﬁcations, Make Whole Payment Requests and Deferred Payment
      Obligations). The servicer must address any questions regarding a property that
      was reconveyed to Fannie Mae’s CPM division (see F-4-02, List of Contacts).
      Recent Related Announcements There are no recently issued Announcements related
      to this topic. Section E-4.3, Preserving and Managing Properties Published May
      13, 2026 489
  judgment: false
