--- title: GSE guidance for revised General QM definition description: Fannie Mae and Freddie Mac recently provided additional guidance on their changes to the revised General QM definition as well as their PSPA with the FHFA. image: https://blog.docmagic.com/hubfs/Loving%20couple%20looking%20at%20their%20dream%20house.jpeg --- - [INFO@DOCMAGIC.COM](mailto:info@docmagic.com) - | - [PHONE (800) 649-1362](tel:+8006491362) [![Home](https://blog.docmagic.com/hs-fs/hubfs/DocMagic_May2018/Images/logo.png?width=1172&height=232&name=logo.png "Home")](https://www.docmagic.com/) [![Home](https://blog.docmagic.com/hs-fs/hubfs/DocMagic_May2018/Images/logo.png?width=1172&height=232&name=logo.png "Home")](https://www.docmagic.com/) - [Solutions](https://www.docmagic.com/solutions) - [Solutions Innovative, automated, and compliant technology solutions designed to advance every stage of your mortgage loan process](https://www.docmagic.com/solutions) - [Document Generation We ensure data and document accuracy from initial disclosures to closing](https://www.docmagic.com/document-generation) - 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Effectively, this means there will be no “GSE Patch” or Temporary Agency carve out to the General QM rule as of these dates, and all loans with an application date of July 1 or later will be expected to comply with the new General QM definition.  Note, the GSE Patch to the prior General QM definition allowed loans eligible for sale to the GSEs to meet the General QM definition up until the sunset date (prior date was Jan. 10, 2021, then modified to match the new mandatory compliance date of the new General QM rule), or when the GSEs left conservatorship, whichever was later. However, since as of applications dated July 1, the GSEs will *only *purchase loans meeting the new General QM definition, then effectively, those loans are the only ones eligible for sale to the GSEs thus the only loans meeting the GSE patch rules as well. As a result, effectively, because of the GSEs' actions, there will no longer be any GSE patch as of July 1 (or Sept. 1 for loans with application dated before July 1 but not yet sold to the GSEs).  One exception to the new GSE requirements is for construction-to-permanent loans which may be delivered under the prior QM definition until Feb. 28, 2022 (for loans with an application date prior to July 1, 2021). As a result, DocMagic is proceeding with our original plans for phasing out the QM rules that allow for the GSE Patch/Temporary Agency QM. Thus, for loans with an application date of July 1 or later, DocMagic audits will run only the revised General QM definition, without a DTI component. As of Sept. 1, DocMagic Online will no longer allow selection of Temporary Agency rules for loans with an application date of July 1, and any transaction submitting a QM Type: TemporaryAgency, will automatically have the new General QM rules applied instead. Users will still be able to run the Temporary Agency rules on loans with an application date prior to July 1.  [Fannie Mae Lender Letter 2021-11](https://singlefamily.fanniemae.com/media/25856/display) [Freddie Mac Bulletin 2021-19](https://guide.freddiemac.com/app/guide/bulletin/2021-19?utm_source=eloqua&utm_medium=email&utm_campaign=2021-05-26_POLICY_Guide-Policy) **Related Content:** - [GSEs announce plans to limit purchases to loans meeting revised General QM rule](https://blog.docmagic.com/gse-limit-purchases-to-loans-meeting-revised-general-qm-rule) (5/11/2021) - [CFPB rescinds 7 pandemic-related policy statements](https://blog.docmagic.com/cfpb-rescinds-7-pandemic-related-policy-statements) (4/7/2021) - [CFPB issues statement on financial institutions serving LEP customers](https://blog.docmagic.com/cfpb-statement-limited-english-proficiency-consumers) (2/3/2021) One partner. One platform. A complete solution. 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