On January 19, 2023, Fannie Mae and Freddie Mac both posted announcements updating the current Loan Level Price Adjustment (LLPA) grids for loans sold to them on or after May 1, 2023. Gateway Correspondent Lending will be rolling out these new LLPAs effective February 15, 2023, for all best-effort lock terms (i.e., 7, 15, 30, 45, 60, and 75).
- Loans locked under the current LLPA grid must be purchased no later than Friday, April 21, 2023, to keep the current Loan Level Price Adjustments.
- Lock extensions and relocks will be subject to the new LLPAs if the loan is not purchased by April 21, 2023. In the event the LLPA has improved, pricing will not be improved (loan is subject to the worse case LLPA).
- Loans locked on or after February 15, 2023, and funded on or before April 21, 2023, where the LLPA is WORSE than the current LLPA grid in use through February 14, 2023, could be eligible for a refund of the difference.
*Clients are responsible for notifying their Regional Sales Manager to determine if a refund of the LLPA difference is eligible for reimbursement.
For complete details of the LLPA changes, please refer to the Agency Announcements linked below:
Please direct any questions to your Regional Sales Manager