Units in projects or subdivisions simply zoned as PUDs that include the following characteristics are not defined as PUD projects under Fannie Mae’s policies.
Zoning is not a basis for classifying a project or subdivision as a PUD. Acceptable evidence of master insurance coverage for a unit in a PUD, condo, or co-op project includes either:Ī copy of the current master policy and any endorsements, and a certificate of insurance showing the individual unit securing the mortgage loan is covered under the policy Ī blanket insurance policy which covers every project in which the servicer services Fannie Mae mortgage loans, with premiums borne by the servicer as a corporate expense orĪn insurance policy maintained by the servicer which provides ”walls-in” coverage as well as loss assessment coverage as needed in the event of an uninsured loss for all Fannie Mae PUD, condo, or co-op mortgage loans serviced by the servicer. the subject unit must not be part of a condo or co-op project. Refer to Selling Guide B7-3-06, Evidence of Property Insurance for acceptable evidence of master insurance policies. Limited Review for attached condominium units in established condominium projects not located in Florida: o Owner-occupied up to 90. The servicer must ensure on an annual basis that the master insurance coverage maintained for a PUD, condo, or co-op project meets the requirements outlined in this Servicing Guide. Acceptable Evidence of Master Insurance Policies
