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AMENDMENTS TO THE FFA

Definition of Owner-Occupied Residential Real Property

• The definition of owner-occupied residential real property includes up to four units.

Mediation Referrals When the Borrower is Deceased

• A mediation referral is appropriate for a successor in interest when the borrower is
deceased.

Mediation Referrals in Cases of Dissolution or Legal Separation

• A mediation referral is appropriate for a person who has been awarded the title to the
property in a dissolution or legal separation.

Investor Restrictions on Modifications

• If a beneficiary claims it cannot implement a loan modification due to limitations in a Pooling
and Servicing Agreement or other investor restriction, then the beneficiary must provide the
relevant portion of the Pooling and Servicing Agreement, or other investor restriction.

Mediator Fees

• The amendment allows Commerce to authorize mediator fees in excess of the $400 allowed
in the statute. Currently, the authorized mediator fee is $600.

January 2020 | Page 38