How to read your MPF price sheet

Loan Level Price Adjustments (LLPA) are fees that go to Fannie Mae. These fees are not part of the MPF price quote. You must determine the LLPA due on each MPF Xtra loan. If loan terms change, the LLPAs could change as well.

Tip: See the LLPA Pricing Worksheet

You have two options as how to cover LLPAs

  • You can price up to cover the fees (most popular).
  • You can charge the LLPAs to the borrower.

Determining how the Loan should be priced

  • You will need to know what Fannie Mae will require for LLPAs. 
  • You need to know the profit margin your institution is looking for.

Example:

  • Required LLPAs                            1.00
  • Your profit requirement               1.50
  • You will need to price to make   2.50

If a 45 day lock is needed based on the example below, the note rate would be 3.125 with a MPF purchase of 2.50.

To convert MPF pricing to Par pricing: 

pricing sheet example