502.03
Property Inspection Protocol
Guidance
Property PropertyMultifamily residential real estate securing the Mortgage Loan, including the fee simple or Leasehold interest, Improvements, and personal property (per the Uniform Commercial Code). inspection frequency is based on
- the current Fannie Mae Fannie MaeThis Glossary term Is Created Using Automation in Lower Environments and is used for testing purposes only!! risk rating,
- the Property Condition Rating Property Condition RatingAn assessment of the Property’s overall condition per the MBA Standard Inspection Form, expressed on a scale from 1 (the best Property Condition Rating) to 5 (lowest Property Condition Rating). ,
- the Mortgage Loan Mortgage LoanMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or a mortgage debt obligation with a Fannie Mae credit enhancement. Test Notes-SV Test Again Sub-bullet test1 Sub-bullet test2 amount at the Mortgage Loan Origination Date Mortgage Loan Origination DateDate you fund a Mortgage Loan to the Borrower. , and
- a full inspection (unless otherwise noted) of the specified percentage of units per the Property Inspection Protocol table criteria, but not:
- less than the specified minimum; and
- more than the specified maximum.
If the scheduled inspection due date is within 6 months of the Maturity Date Maturity DateDate all Mortgage Loan amounts become fully due and payable per the Loan Documents. , the MAMP MAMPMultifamily Asset Management Portal used to submit Property inspections, operating statements, requested modifications, asset management reports, and data corrections for loan or property attributes. inspection due date will be set to 6 months before the Maturity Date Maturity DateDate all Mortgage Loan amounts become fully due and payable per the Loan Documents. .
Operating Procedures
You must complete:
- a post-origination Property PropertyMultifamily residential real estate securing the Mortgage Loan, including the fee simple or Leasehold interest, Improvements, and personal property (per the Uniform Commercial Code). inspection within 12 months; and
- additional Property PropertyMultifamily residential real estate securing the Mortgage Loan, including the fee simple or Leasehold interest, Improvements, and personal property (per the Uniform Commercial Code). inspections per the Inspection Frequency column in the following table.
| Property Inspection Protocol | ||||||
|---|---|---|---|---|---|---|
| If the original Mortgage Loan Amount is greater than $30 million... | ||||||
| Type | Fannie Mae Risk Rating | Inspection Frequency | Number of Units to Inspect |
Minimum # of Photos Total (Interior/Exterior) |
Inspector | |
| % |
Min/Max |
|||||
| All Mortgage Loans |
|
Annual | 5% | 5/15 | 20 (5/15) |
|
| Substandard | Annual | 10% | 10/20 | 20 (5/15) | In-House Only | |
| If the original Mortgage Loan Amount is greater than $6 million and less than or equal to $30 million... | ||||||
| NOTE: DSCR is per the most recent annual financial statement submitted to Fannie Mae. | ||||||
| Type | Fannie Mae Risk Rating | Inspection Frequency | Number of Units to Inspect |
Minimum # of Photos Total (Interior/Exterior) |
Inspector | |
| % |
Min/Max |
|||||
| Most recent Property Condition Rating of 3 |
|
Annual | 10% | 10/20 | 20 (5/15) |
|
| Consecutive Property Condition Ratings of 3 or worse | All Ratings | Annual | 10% | 10/20 | 20 (5/15) | In-House Only |
| Most recent Property Condition Rating of 4 or 5 | All Ratings | Annual | 10% | 10/20 | 20 (5/15) | In-House Only |
|
|
Annual | 5% | 5/15 | 20 (5/15) |
|
| Substandard | Annual | 10% | 10/20 | 20 (5/15) | In-House Only | |
| Maturing | All Ratings | Within 12 months before Maturity Date Maturity DateDate all Mortgage Loan amounts become fully due and payable per the Loan Documents. | Per applicable Mortgage Loan Mortgage LoanMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or a mortgage debt obligation with a Fannie Mae credit enhancement. Test Notes-SV Test Again Sub-bullet test1 Sub-bullet test2 type. | |||
| All others |
|
|
5% | 5/15 | 20 (5/15) |
|
|
Annual | 5% | 5/15 | 20 (5/15) |
|
|
| Substandard | Annual | 10% | 10/20 | 20 (5/15) | In-House Only | |
| If the original Mortgage Loan Amount is $6 million or less... | ||||||
| NOTE: If the Property has 10 units or less, at least 2 units must be inspected. | ||||||
| Type | Fannie Mae Risk Rating | Inspection Frequency | Number of Units to Inspect |
Minimum # of Photos Total (Interior/Exterior) |
Inspector | |
| % |
Min/Max |
|||||
| Most recent Property Condition Rating of 4 or 5 (unless Delivered Mortgage Loan Amount was less than $750,000) | All Ratings | Annual | 10% | 10/20 | 20 (5/15) | In-House Only |
|
|
Annual | 5% | 5/15 | 20 (5/15) |
|
| Substandard | Annual | 10% | 10/20 | 20 (5/15) | In-House Only | |
| Maturing | All Ratings | Within 12 months before Maturity Date Maturity DateDate all Mortgage Loan amounts become fully due and payable per the Loan Documents. | Per applicable Mortgage Loan Mortgage LoanMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or a mortgage debt obligation with a Fannie Mae credit enhancement. Test Notes-SV Test Again Sub-bullet test1 Sub-bullet test2 type. | |||
| All others |
|
Walk Around every 5 years | N/A | N/A | 15 (exterior photos only) |
|
|
Every 2 years | 5% | 2/5 | 15 (5/10) |
|
|
| Substandard | Annual | 10% | 2/5 | 15 (5/10) | In-House Only | |