How to Read the MPF Price Sheet – Best Efforts Pricing
Loan Level Price Adjustments (LLPA) are not a part of the price quote. You must calculate the LLPAs and price up to cover the Fannie Mae required adjustments.
Tip: See the LLPA Pricing Worksheet
- Refi Plus cannot be delivered as Best Efforts; The Refi Plus may be converted to a standard refinance, which would make the loan eligible for Best Efforts pricing. (loans delivered as Refi Plus must be delivered into a Refi Plus-specific master commitment and will be mandatory delivery)
Determining how the Loan should be priced
Required LLPAs 1.00
Your profit requirement 1.50
You will need to price to make 2.50
- Agent fee represents premium or discount payable on a loan funding
- Note rates are quoted in 1/8’s
- The loan is priced based on the loan size
- Loans up to $85k
- > $85K to $110K
- > $110K to $125K
- > $125K to $150K
- > $150K to $175K
- > $175K (including high balance loans)
- Loans are priced in 15, 20 and 30 year fixed rate terms; High balance loans will be priced to a 15 or 30 year fixed rate term
- 10-year price quotes are available by calling the MPF Service Center
- Odd amortization terms are NOT allowed (conforming and high balance)
- A high balance loan is a loan in an area of the country having a high cost of housing (Boston, New York, California, Washington, D.C., etc.).
- The indicative pricing available at the eMPF website shows lock terms of 5, 15, 30, 45, 60 and 90 calendar days. The Xtra product allows you to lock for the actual number of days you need in a range of 3 to 90 calendar days
- When locking under Xtra Best Efforts delivery, you must request loan funding/purchase by MPF 3 days prior to the lock expirations
- The 3 days needs to be considered when determining your lock expiration date.
Example: Your loan will be closed, fully disbursed and ready to sell (request funding/purchase) to MPF on March 15; you will want your lock expiration date to be March 18. For your pipeline tracking purposes, March 15 should be your price expiration date.