Fannie Mae has issued clarifications on its hazard insurance coverage policy, the updates to which were originally announced back in August. The changes will affect borrower-paid property insurance and lender-placed property insurance for Conventional first-lien loans, Conventional second-lien loans for which Fannie either had an ownership in the first-lien mortgage or paid off the first-lien mortgage in connection with the second-lien loan's foreclosure, FHA or VA mortgage loans that aren't conveyable to the insurer or guarantor, and RD-guaranteed loans serviced under the special servicing option. Guidance has been clarified to state that, for loans where the foreclosure sale is held on or after October 1st, servicers must cancel hazard insurance coverage within 14 days after the property has been inspected and confirmed to be vacant by a Fannie-designated broker, agent, or property management company. US Bank reminded clients that appraisal fees will be increasing as of October 7th.