source:
  type: guide
  id: fnma-sel-b5-6-03
  authority: Fannie Mae Selling Guide B5-6-03 — HomeReady Mortgage Loan Pricing, Mortgage
    Insurance, and Special Feature Codes
  description: Fannie Mae Selling Guide B5-6-03 — HomeReady Mortgage Loan Pricing,
    Mortgage Insurance, and Special Feature Codes.
  coverage_tier: operative
obligations:
- id: fnma-sel-b5-6-03-full
  canonical_id: fnma-sel-b5-6-03-full
  section: Fannie Mae Selling Guide B5-6-03 — HomeReady Mortgage Loan Pricing, Mortgage
    Insurance, and Special Feature Codes
  type: do
  tags:
  - regulator-direct
  - fnma
  - selling-guide
  - corpus-expansion
  - tier-operative
  primary_source:
    tier: 1
    authority: Fannie Mae Selling Guide B5-6-03 — HomeReady Mortgage Loan Pricing,
      Mortgage Insurance, and Special Feature Codes
    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: 'B5-6-03, HomeReady Mortgage Loan Pricing, Mortgage Insurance,
      and Special Feature Codes (06/05/2024) Introduction This topic contains information
      about HomeReady mortgage loans, including: Loan-Level Price Adjustments Mortgage
      Insurance Coverage Special Feature Codes Loan-Level Price Adjustments LLPAs
      may apply to HomeReady mortgage loans. These LLPAs are in addition to any other
      price adjustments that are otherwise applicable to the particular transaction.
      For current LLPAs, see the Loan-Level Price Adjustment (LLPA) Matrix. Loans
      where at least one borrower completed housing counseling from a HUD-approved
      agency within 12 months prior to loan closing may be eligible for an LLPA credit.
      The housing counseling must meet the requirements of B2-2-06, Homeownership
      Education and Housing Counseling and the loan must be delivered with SFC 184.
      Mortgage Insurance Coverage Published May 6, 2026 802 For mortgage insurance
      coverage requirements see B7-1-02, Mortgage Insurance Coverage Requirements.
      Financed borrower-purchased mortgage insurance is allowed for one-unit properties
      under HomeReady. Refer to B7-1-04, Financed Borrower-Purchased Mortgage Insurance,
      for additional information about ﬁnanced mortgage insurance. Special Feature
      Codes Special Feature Code 900 must be delivered for all HomeReady mortgage
      loans. In addition, one or more of the following special feature codes may also
      be required for HomeReady mortgages: loans with a Community Seconds —118, loans
      where at least one borrower completed housing counseling —184, loans with ﬁnanced
      mortgage insurance — 281, and loans for borrowers with “thin” traditional credit
      ﬁles — 818. For additional information about these codes, see Special Feature
      Codes . Recent Related Announcements The table below provides references to
      recently issued Announcements that are related to this topic. Announcements
      Issue Date Announcement SEL-2024-04 June 05, 2024 Chapter B5-7, High Loan-to-Value
      Reﬁnance Option Introduction This chapter provides the policies and requirements
      for the high loan-to-value reﬁnance option.'
  judgment: false
