23-78: Fannie Mae - Increased LTV limits for 2 - 4 Unit Properties


Pennymac is aligning with Fannie Mae’s expanded LTV ratio limits to 95% LTV/CLTV/HCLTV for 2-4-unit, principal residence, purchase and limited cash-out transactions. A DU Approve/Eligible is required. The LTV ratio increase does not apply to the following:

  • High-balance mortgage loans
  • Manually underwritten loans

Please check with your mortgage insurance providers to ensure they are supportive of these changes.

The LTV ratios highlighted in red represent the updated ratios.

announcement 23-78 table image

The changes apply to DU loan casefiles submitted or resubmitted on or after the weekend of 11/18/2023.

Please contact your Sales Representative with any questions.