Fannie Mae will implement
a new version of its Desktop Underwriter (DU) after the weekend of March 13.
Version 11.0 apply to loan casefiles submitted on or after that date, but casefiles
created in the previous version. The
changes in this release include modifications to DU risk assessment which Fannie
Mae says it regularly reviews and updates based on the latest market and loan
performance data. The new DU version “will include an updated risk assessment
that will finetune DU’s ability to assess risk while fostering homeownership
sustainability.” The company said it expects DU 11.0 to yield only minimal change
in the overall percentage of loan casefiles receiving an Approve/Eligible
recommendation, but each lender’s results may vary depending on their overall
mix of business.