Property Eligibility

The Correspondent must obtain an endorsement (CLTA 107.5 or its equal) that states that the property improvements are insured the same as the land, for properties in the following states:

The criteria below must be incorporated in the title insurance policy for mortgage loans covering each unit in a condominium or PUD project.

The Correspondent must obtain a title waiver from PennyMac before the mortgage loan closes for title exceptions that are not specifically permitted in the Guide.

Short form policies/mortgagee’s certificates of title insurance, issued in combination with master title insurance policies, are acceptable for loans purchased by PennyMac if the:

If a mortgage loan is not covered by a master title insurance policy which insures against loss due to survey-related matters, a plat or improvement survey must be provided to PennyMac.

For conventional mortgage loans, the following exceptions to the title insurance policy or to the attorney's opinion of title are acceptable:

PennyMac requires a final title commitment or binder or title policy to be provided with each loan offered for purchase. In escrow states, PennyMac may accept preliminary title commitments as long ...