Freddie Mac Single-Family Seller/Servicer Guide 5501.8 — Automated asset assessment with Loan Product Advisor® using account data

Refer to Bulletin 2026-10, which announced updates related to accumulated assets as income. Sellers may implement the new requirements prior to the mandatory February 3, 2027 version of this section. This section contains: ■ Overview ■ Eligible and ineligible asset types and other sources of funds ■ Underwriting requirements ■ Data submission requirements, representation and warranty relief eligibility and documentation requirements

(a) Overview Representation and warranty relief eligibility is contingent on the Seller’s compliance with the requirements of this section. Asset and income modeler (AIM) automated asset assessment using account data provides Sellers with the option to use Loan Product Advisor® to determine whether a Seller is eligible for relief from enforcement of certain representations and warranties related to the Borrower’s assets. The Seller must obtain the Borrower’s account data and submit all required data and information to Loan Product Advisor. Based on the data submitted, Loan Product Advisor will assess for representation and warranty relief eligibility and return the results of the assessment on the Feedback Certificate.

(b) Eligible and ineligible asset types and other sources of funds The following table describes eligible and ineligible asset types and other sources of funds for an automated asset assessment using account data: Eligible and ineligible asset types and other sources of funds for an automated asset assessment Eligible asset type Ineligible sources of funds The following asset types as described in Section 5501.3: ■ Depository accounts ■ Borrower’s business checking, savings and/or money market accounts. (See Section 5304.1(l) for additional requirements.) ■ Securities ■ Retirement accounts The Mortgage must not be a Mortgage for which any of the following are being used to qualify the Borrower: ■ Cash on hand ■ Assets that will be used by the Borrower for repayment of Borrower’s monthly obligations as described in Section 5307.1 The following other eligible sources of funds as described in Section 5501.4: ■ Gift funds or a gift of equity ■ Gift funds received as a wedding gift ■ Gift funds received as a graduation gift ■ A gift or grant from an Agency

(c) Underwriting requirements (i) General underwriting requirements For each verification report obtained, the Seller must confirm: ■ Each asset on the verification report is owned by at least one Borrower and such Borrower has access to the funds in the asset account ■ All assets shown on the verification report are in U.S. dollars located in a U.S.- or State-regulated financial institution ■ There are no outstanding loans secured by any of the asset accounts included on the verification report (ii) Age of documentation For the age of the documentation, the expiration date of the verification report reflected on the Last Feedback Certificate complies with the requirements in Section 5102.4.

(d) Data submission requirements, representation and warranty relief eligibility and documentation requirements (i) Data submission requirements For Mortgages with an automated asset assessment using Loan Product Advisor, the Seller must: ■ Submit the most current account data to Loan Product Advisor. If, after the initial submission, the Seller obtains an updated verification report, the Seller must resubmit the account data to Loan Product Advisor. ■ Investigate and resolve any inconsistent or contradictory information between the verification report, information contained in Form 65, Uniform Residential Loan Application (including the Borrower’s asset representations), and the Mortgage file and, if applicable, resubmit to Loan Product Advisor with the correct information ■ Verify any funds required for the Mortgage transaction that are not included in the “Total Funds to be Verified” amount (e.g., Borrower is selling a property and needs to bring funds to the closing) and maintain the documentation in the Mortgage file (ii) Representation and warranty relief results on Feedback Certificate If multiple Loan Product Advisor submissions are made, Seller’s eligibility for representation and warranty relief will be based on the results on the Last Feedback Certificate. When asset representation and warranty eligibility results are provided on the Last Feedback Certificate, the representation and warranty relief available is described in the following table: Asset representation and warranty relief based on Feedback Certificate result Eligibility result Representation and warranty relief Eligible The Seller is relieved from enforcement of the following representations and warranties: 1. Sufficiency of the Borrower’s assets to cover the “Total Funds to be Verified” amount indicated on the Last Feedback Certificate, and Asset representation and warranty relief based on Feedback Certificate result Eligibility result Representation and warranty relief 2. Accuracy and integrity of the data on the verification report Partial The Seller is relieved from enforcement of the following representations and warranties contingent on Seller documenting additional requirements as indicated in feedback messages and the documentation requirements in Section 5501.8(d)(iii) below: 1. Sufficiency of the Borrower’s assets to cover the “Total Funds to be Verified” amount indicated on the Last Feedback Certificate, and 2. Accuracy and integrity of the data on the verification report Not eligible The Seller is not eligible for relief from enforcement of representations and warranties related to the Borrower’s assets. Unavailable The Seller is not eligible for relief from enforcement of representations and warranties related to the Borrower’s assets. (iii)Documentation requirements based on representation and warranty relief result on Feedback Certificate When asset representation and warranty eligibility results are provided on the Last Feedback Certificate, the documentation requirements are described in the following table: Documentation requirements based on representation and warranty relief result on the Feedback Certificate Eligibility result Asset documentation requirements Eligible The verification report must be maintained in the Mortgage file. Partial The verification report must be maintained in the Mortgage file. Gift funds, grant funds, securities and retirement accounts must comply with the documentation requirements in Sections 5501.3 and 5501.4. The verification report is acceptable documentation to identify evidence of receipt of gift funds and grants from Agencies. Not eligible The assets must be verified and documented as required by the Guide. Documentation requirements based on representation and warranty relief result on the Feedback Certificate Eligibility result Asset documentation requirements Unavailable The assets must be verified and documented as required by the Guide. (iv) “Large deposits” verification requirements For purchase transactions, Loan Product Advisor will issue feedback messaging identifying the amount of “large deposits” for which the Seller must document the source of funds. When a “large deposit” is identified by Loan Product Advisor but is composed of multiple items, the Seller must evaluate each item to determine whether it meets the definition of a “large deposit” (as described in Section 5501.1). If an item is not a “large deposit”, the Seller does not need to document the source of funds. For “large deposits” identified in the Borrower’s business checking, savings and/or money market accounts, the requirements in Section 5501.3(m) apply.

Product Advisor® using account data (Future effective date 02/03/27) This section contains: ■ Overview ■ Eligible and ineligible asset types and other sources of funds ■ Underwriting requirements ■ Data submission requirements, representation and warranty relief eligibility and documentation requirements

(a) Overview Representation and warranty relief eligibility is contingent on the Seller’s compliance with the requirements of this section. Asset and income modeler (AIM) automated asset assessment using account data provides Sellers with the option to use Loan Product Advisor® to determine whether a Seller is eligible for relief from enforcement of certain representations and warranties related to the Borrower’s assets. The Seller must obtain the Borrower’s account data and submit all required data and information to Loan Product Advisor. Based on the data submitted, Loan Product Advisor will assess for representation and warranty relief eligibility and return the results of the assessment on the Feedback Certificate.

(b) Eligible and ineligible asset types and other sources of funds The following table describes eligible and ineligible asset types and other sources of funds for an automated asset assessment using account data: Eligible and ineligible asset types and other sources of funds for an automated asset assessment Eligible asset type Ineligible sources of funds The following asset types as described in Section 5501.3: ■ Depository accounts ■ Borrower’s business checking, savings and/or money market accounts. (See Section 5304.1(l) for additional requirements.) ■ Securities ■ Retirement accounts The Mortgage must not be a Mortgage for which any of the following are being used to qualify the Borrower: ■ Cash on hand ■ Accumulated assets that will be used by the Borrower as income as described in Section 5307.1 The following other eligible sources of funds as described in Section 5501.4: ■ Gift funds or a gift of equity ■ Gift funds received as a wedding gift ■ Gift funds received as a graduation gift ■ A gift or grant from an Agency

(c) Underwriting requirements (i) General underwriting requirements For each verification report obtained, the Seller must confirm: ■ Each asset on the verification report is owned by at least one Borrower and such Borrower has access to the funds in the asset account ■ All assets shown on the verification report are in U.S. dollars located in a U.S.- or State-regulated financial institution ■ There are no outstanding loans secured by any of the asset accounts included on the verification report (ii) Age of documentation For the age of the documentation, the expiration date of the verification report reflected on the Last Feedback Certificate complies with the requirements in Section 5102.4.

(d) Data submission requirements, representation and warranty relief eligibility and documentation requirements (i) Data submission requirements For Mortgages with an automated asset assessment using Loan Product Advisor, the Seller must: ■ Submit the most current account data to Loan Product Advisor. If, after the initial submission, the Seller obtains an updated verification report, the Seller must resubmit the account data to Loan Product Advisor. ■ Investigate and resolve any inconsistent or contradictory information between the verification report, information contained in Form 65, Uniform Residential Loan Application (including the Borrower’s asset representations), and the Mortgage file and, if applicable, resubmit to Loan Product Advisor with the correct information ■ Verify any funds required for the Mortgage transaction that are not included in the “Total Funds to be Verified” amount (e.g., Borrower is selling a property and needs to bring funds to the closing) and maintain the documentation in the Mortgage file (ii) Representation and warranty relief results on Feedback Certificate If multiple Loan Product Advisor submissions are made, Seller’s eligibility for representation and warranty relief will be based on the results on the Last Feedback Certificate. When asset representation and warranty eligibility results are provided on the Last Feedback Certificate, the representation and warranty relief available is described in the following table: Asset representation and warranty relief based on Feedback Certificate result Eligibility result Representation and warranty relief Eligible The Seller is relieved from enforcement of the following representations and warranties: 1. Sufficiency of the Borrower’s assets to cover the “Total Funds to be Verified” amount indicated on the Last Feedback Certificate, and 2. Accuracy and integrity of the data on the verification report Partial The Seller is relieved from enforcement of the following representations and warranties contingent on Seller documenting additional requirements as indicated in feedback messages and the documentation requirements in Section 5501.8(d)(iii) below: 1. Sufficiency of the Borrower’s assets to cover the “Total Funds to be Verified” amount indicated on the Last Feedback Certificate, and 2. Accuracy and integrity of the data on the verification report Not eligible The Seller is not eligible for relief from enforcement of representations and warranties related to the Borrower’s assets. Unavailable The Seller is not eligible for relief from enforcement of representations and warranties related to the Borrower’s assets. (iii)Documentation requirements based on representation and warranty relief result on Feedback Certificate When asset representation and warranty eligibility results are provided on the Last Feedback Certificate, the documentation requirements are described in the following table: Documentation requirements based on representation and warranty relief result on the Feedback Certificate Eligibility result Asset documentation requirements Eligible The verification report must be maintained in the Mortgage file. Partial The verification report must be maintained in the Mortgage file. Gift funds, grant funds, securities and retirement accounts must comply with the documentation requirements in Sections 5501.3 and 5501.4. Documentation requirements based on representation and warranty relief result on the Feedback Certificate Eligibility result Asset documentation requirements The verification report is acceptable documentation to identify evidence of receipt of gift funds and grants from Agencies. Not eligible The assets must be verified and documented as required by the Guide. Unavailable The assets must be verified and documented as required by the Guide. (iv) “Large deposits” verification requirements For purchase transactions, Loan Product Advisor will issue feedback messaging identifying the amount of “large deposits” for which the Seller must document the source of funds. When a “large deposit” is identified by Loan Product Advisor but is composed of multiple items, the Seller must evaluate each item to determine whether it meets the definition of a “large deposit” (as described in Section 5501.1). If an item is not a “large deposit”, the Seller does not need to document the source of funds. For “large deposits” identified in the Borrower’s business checking, savings and/or money market accounts, the requirements in Section 5501.3(m) apply.