17-45: Disaster Policy Implementation: California Wildfires
Due to therecent wildfires, the Governor ofCaliforniahas declared a State of Emergency. In response, PennyMac is continuing to monitor nine Northern California cities to establish an incident end date and is requiring property inspections based on the listed end date for the following Northern and Southern California Cities:
Inspection Dated on or after
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Fundings paused, not currently eligible for inspection
October 12, 2017
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October 17, 2017
PennyMac is continuing to monitor the residential property damage caused by the wildfires. In accordance with its Disaster Policy, PennyMac may require post-disaster inspections on loans located in areas that sustained damage in advance of a FEMA declaration for Individual Assistance.
It is the Correspondent’s responsibility to be aware of and act upon any loan impacted by disasters prior to the sale of the loan to PennyMac. Correspondents should order a post-disaster inspection if the Correspondent has reason to believe the subject sustained damage in a disaster.
As a reminder, Fannie Mae and Freddie Mac do not allow loans to close with an appraisal waiver for loans located in disaster areas. It is the Lender’s responsibility to ensure the property remains eligible for an appraisal waiver.
Additionally Correspondents are responsible for complying with all FHA requirements for properties located in Presidentially Declared Major Disaster Areas for all FHA loans. Please see the FHA handbook for complete details
For complete details, please refer to the PennyMac Disaster Policy located in the PennyMac Seller’s Guide on www.gopennymac.com. Please contact your Sales Representative with any questions.