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All ​Participant Memorandums (APMs)

APMs (All Participant Memoranda) are issued by IPM generally to announce policy and MBS Guide changes accessed by Issuers, Document Custodians and other participants in Ginnie Mae programs.

5 most recent APMS
3/25/2020 - APM 20-02
Ginnie Mae has extended the due date for Annual Audited Financial Statements​ to April 30, 2020, for those lenders with a December fiscal year end. However, lenders that can complete the Annual Audited Financial Statements within 90 days after the end of their fiscal year are encouraged to do so.

If you have further questions, please contact your Account Executive in the Office of Issuer and Portfolio Management directly, or at (202) 708-1535.
3/25/2020 - APM 20-01

In order to address concerns and minimize potential market disruptions related to COVID-19, Ginnie Mae is undertaking a temporary measure allowing for the electronic execution and transmission of form HUD 11711A (Release of Security Interest) and form HUD-11711B (Certification and Agreement).

The Document Custody Manual (DCM) Appendix III-05 of Ginnie Mae’s MBS Guide 5500.3, Rev. 1 stipulates that the original form HUD 11711A must include the wet signature and title of individual signing on behalf of interim lender to meet Initial Certification requirements. The DCM also requires the form HUD 11711B to include the wet signature of an officer of the Issuer authorized under the Resolution of Board of Directors and Certificate of Authorized Signatures, form HUD 11702.

As a temporary measure and effective immediately, Ginnie Mae will approve interim lenders and Issuers to execute the forms HUD 11711A and HUD 11711B using an electronic signature. The electronic signature must, in all cases, be performed, affixed or reflected as to allow a person reading the form to identify the name, title, and business name of the signor. The electronic signature may not be an audio recording, a video recording, or comprised exclusively of biometric data.

Any forms HUD 11711A and HUD 11711B signed electronically may also be transmitted electronically between interim lenders, Issuers, and Document Custodians provided that they are maintained in PDF format and that the Document Custodian is able to reproduce a print out of those PDF files to be included in the relevant physical pool file or upon Ginnie Mae’s request. Issuers must ensure that the Document Custodian is able to receive and reproduce the electronic forms before transmitting them for the Initial Certification review

Once the crisis related to COVID-19 has been mitigated, or as otherwise directed by Ginnie Mae, the Issuer will be responsible for delivering forms HUD 11711A and HUD 11711B bearing wet signatures to the Document Custodian for the completion of Final Certification. Ginnie Mae reserves the right to follow up with Issuers in order to ensure this requirement is met. If you have any questions, please contact your Ginnie Mae account executive. ​

12/31/2019 - APM 19-08

Pursuant to the Housing and Economic Recovery Act of 2008 (HERA), the Federal Housing Finance Agency (FHFA) has announced increased conforming loan limits. Accordingly, Ginnie Mae is revising its definition of High Balance Loans as follows. Effective for issuances on or after January 1, 2020, a High Balance Loan is defined as a single-family forward mortgage loan with an original principal balance (minus the amount of any upfront mortgage insurance premium) that exceeds the following limits:

Maximum Loan Amounts (net of any financed MIP or Guaranty Fee)





Contiguous 48 States, District of Columbia, American Samoa, and Puerto Rico

Alaska, Hawaii, Guam, and the U.S. Virgin Islands














Additional information on conforming loan limits for the Commonwealth of the Northern Mariana Islands may be obtained directly from FHFA. High Balance Loans are eligible for Ginnie Mae MBS subject to the restrictions detailed in Ch. 9, Part 2, § B and Ch. 24 Part 2, § A(1) of the Mortgage Backed Securities Guide, HUD Handbook 5500.3, Rev-1 (MBS Guide). 

If you have any questions regarding this announcement, please contact your Account Executive in the Office of Issuer and Portfolio Management directly or at (202) 708-1535.​​

12/31/2019 - APM 19-07

To provide HMBS Issuers with additional guidance relating to monthly and annual reporting obligations, Ginnie Mae is hereby announcing the publication of its HMBS Investor Reporting Manual. Ginnie Mae is also revising Chapter 35 of the MBS Guide to provide expanded guidance in accordance with the content of the newly published manual.  The MBS Guide changes addressed below will become effective on April 1, 2020 and will be reflected in an updated version of Chapter 35 published at that time. 

Chapter 35 MBS Guide Updates

Ginnie Mae is modifying Chapter 35, Part 1 to remind issuers that FHA requirements, not the MBS Guide provisions, dictate whether Participations are permitted for any HECM Loan pooled into an HMBS. 

Further, Ginnie Mae is revising Chapter 35, Part 5, Section A to establish the first (1st) day of the month that is subsequent to the loan closing date as the earliest date a Participation can be pooled for securitization. Please note that, HMBS Issuers may select, at their discretion, the timing and frequency of pooling Participations to be later than that date, so long as all other pooling requirements are met. 

Chapter 35, Part 5, Section B has been revised to limit the overall number of Participations that can be associated with any single HECM loan to nine-hundred and ninety-nine (999).

Previously, the language in the MBS Guide allowed the Issuer to determine whether to establish an escrow account.  Under changes made to Chapter 35, Part 7, Section G, Ginnie Mae will require Issuers to establish an escrow account in order to participate in the HMBS program and to execute Master Agreement (Appendix III-3), form HUD11720 for such account(s).  

Under revisions to Chapter 35, Part 12, Section F, Ginnie Mae will require any HMBS Issuer approved on or after January 1, 2020, to select the last business day of the month as the monthly reporting cut-off date to ensure consistency across all HMBS program participants and with the provisions of the newly published HMBS Investor Reporting Manual.

HMBS Investor Reporting Manual

The HMBS Investor Reporting Manual referenced in this memorandum is effective immediately and may be accessed via the link below. 

Please contact your Ginnie Mae Account Executive in the Office of Issuer and Portfolio Management directly or at (202) 708-1535 with any questions you may have.

8/22/2019 - APM 19-06

​Ginnie Mae continually monitors Issuer performance and seeks to encourage Issuer practices that are consistent with its mission and the integrity of the Mortgage-Backed Securities (MBS) Program. As part of a series of counterparty risk management policy updates, Ginnie Mae is implementing the following requirements.
Rating Requirements for Issuers with a Servicing Portfolio Exceeding $25 Billion
To minimize potential exposure to large Issuer defaults, Ginnie Mae will be obtaining additional key risk indicators relating to servicing capability and creditworthiness. Effective September 1, 2020, Issuers with a Ginnie Mae Single-Family (SF) Servicing Portfolio Amount that exceeds $25 billion in UPB will be required to obtain an external primary servicer rating.  For the purpose of this requirement, the term Ginnie Mae Single-Family Servicing Portfolio Amount is the sum of the unpaid principal balance of an Issuer’s outstanding Ginnie Mae SF MBS and HMBS for which it is the Issuer of Record in addition to the sum of the unpaid principal balance of any outstanding SF MBS and HMBS that the Issuer is subservicing on behalf of another approved Ginnie Mae Issuer.  Issuers with a Ginnie Mae Single-Family Servicing Portfolio that exceeds $50 billion in UPB will be required to obtain credit ratings in addition to the external primary servicer rating.  Both, the primary servicing rating and credit rating requirements are detailed in Chapter 3 of the MBS Guide. 
Revised Financial Requirements for Applicants and Issuers
Ginnie Mae is amending Chapter 2 and Chapter 3 of the MBS Guide to change the manner in which liquidity and net worth are calculated.  Effective immediately, new applicants will be permitted to satisfy minimum liquidity requirements using a combination of AAA rated government securities that are marked to market in addition to cash and certain cash equivalents.  However, new applicants will no longer be permitted to include deferred tax assets when computing the minimum net worth required for participation in the MBS Program.  For approved Issuers, these changes will become effective for fiscal year 2020.  Ginnie Mae will take into account these changes when evaluating an Issuer’s compliance with Ginnie Mae’s liquidity, net worth and capital requirements as part of the review of the Issuer’s audited financial statements and documents covering fiscal year 2020.   

Moreover, Ginnie Mae is exempting Issuers that participate exclusively in the HMBS program from the leverage ratio requirements in cases where Ginnie Mae, in its sole discretion, determines that the HMBS Issuer’s failure to meet the requisite leverage ratio test is directly attributable to a demonstrated lack of true sale accounting treatment in the HMBS Program.  This exemption for HMBS Issuers has been incorporated into Chapter 3, Part 8, § C of the MBS Guide, and is effective September 1, 2019.
Secured Debt Ratio as a Risk Factor
Effective September 1, 2019, Ginnie Mae is amending Chapter 3, Part 21 § B to prescribe that Issuers with secured debt to gross tangible asset ratios greater than sixty percent (60%), as described in the Guide, may, at Ginnie Mae’s sole discretion, be subject to additional financial and operational requirements prior to receiving approval for various transactions within the MBS Program, including, but not limited to requests for commitment authority and approval of Transfers of Issuer Responsibility.
Risk Factors Applied to the Approval of Transfers of Issuer Responsibility
Effective September 1, 2019, Ginnie Mae is updating Chapter 21 to inform Issuers about various risk factors that Ginnie Mae currently evaluates when assessing requests for Transfers of Issuer Responsibility, including an evaluation of whether a given approval would lead to a degree of concentration of Issuer responsibility that may pose a substantial risk to the overall integrity and soundness of the MBS Program. 
Risk Factors applied to the Approval Issuer-Subservicer Agreements 
Ginnie Mae, in its sole discretion, may grant or withhold approval of Issuer-Subservicer arrangements.  Effective September 1, 2019, Ginnie Mae is amending Chapter 4, Part 3 of the MBS Guide to inform Issuers that it will assess the percentage of the outstanding Ginnie Mae MBS or HMBS portfolio being subserviced by any entity involved in the transaction as a factor when evaluating Issuer requests for approval of subservicing arrangements. 
Revised Demonstrated Participation Requirements
Ginnie Mae dedicates significant resources to monitoring the performance of its Issuers and seeking to ensure the active and successful participation of each Issuer.  Ginnie Mae grants Issuers an 18-month period to perform a qualified activity in the MBS Program.  Entities that do not perform any qualified activities within that prescribed period risk losing their status as approved Issuers.  Ginnie Mae is revising Chapter 3, Part 21 § A to require all Issuers to perform at least one qualified activity within a consecutive 12-month period in order to maintain their approved Issuer status and to eliminate the blanket exemption for state housing finance agencies from these requirements.  The revised Demonstrated Participation Requirements have been incorporated to Chapter 3, Part 21 § A of the MBS Guide and will be effective September 1, 2020. 

Revised Custodial Bank Rating Requirements
Ginnie Mae is updating the rating requirements applicable to funds custodians to align with industry standards.  These revisions have been incorporated into Chapter 16, Part 8 and are effective September 1, 2019.
If you have any questions regarding this announcement, please contact your Account Executive in the Office of Issuer and Portfolio Management directly, or at (202) 708-1535.

Last Modified: 6/22/2018 7:48 PM