What underwriting program(s) does FNMA use?

What underwriting program(s) does FNMA use?

• A. Desktop Originator (DO, used by brokers) and Desktop Underwriter(DU, used by lenders)
• B. Loan Prospector (LP) and Desktop Originator (DO)
• C. Desktop Underwriter (DU) and Loan Prospector (LP)
• D. All three programs are used by FNMA

Answer: (A)

Fannie Mae uses two main automated underwriting tools: Desktop Underwriter and Desktop Originator. Desktop Underwriter is the lender-facing underwriting engine that provides risk assessments and underwriting decisions. Desktop Originator is the broker-facing interface used to submit loan applications to DU for processing. Loan Prospector, on the other hand, is Freddie Mac’s automated underwriting system and is not used by Fannie Mae. So the correct pairing is Desktop Originator and Desktop Underwriter, because it reflects how brokers submit loans (DO) and how lenders get underwriting decisions (DU) within FNMA's system. The option that includes Loan Prospector is not correct, and saying all three are used would imply a tool FNMA does not employ.

Fannie Mae uses two main automated underwriting tools: Desktop Underwriter and Desktop Originator. Desktop Underwriter is the lender-facing underwriting engine that provides risk assessments and underwriting decisions. Desktop Originator is the broker-facing interface used to submit loan applications to DU for processing. Loan Prospector, on the other hand, is Freddie Mac’s automated underwriting system and is not used by Fannie Mae. So the correct pairing is Desktop Originator and Desktop Underwriter, because it reflects how brokers submit loans (DO) and how lenders get underwriting decisions (DU) within FNMA's system. The option that includes Loan Prospector is not correct, and saying all three are used would imply a tool FNMA does not employ.