AWACSMortgage compliance intelligence from Flightline

Pennymac Correspondent · Announcement 26-71 · Published

Revisions to Conventional Loan-Level Price Adjustments

Pennymac has eliminated the additional cash-out price adjustment for eligible conventional loans. This change applies to best efforts commitments locked starting June 23, 2026.

Review recommendedEffective Jun 23, 2026All checks passedRead the announcement ↗ (opens in a new tab)

Loan impact

Summarized from the announcement · verified

Applies to: Conventional cash-out refinance mortgages delivered under best efforts commitments.

Scope differs by change; see each change below.

Addressed to
Pennymac correspondent sellersFrom the publisher, not quoted from the text
Investor
PennymacFrom the publisher, not quoted from the text
Loan purpose
Cash-out refinance
Affected areas
Contracts; Products
Effective
Jun 23, 2026
Applicability confidence
Verified: every row taken from the source text is supported by it; rows marked "from the publisher" are not quoted

Summary by AWACS. Pennymac Correspondent's guide is proprietary, so AWACS does not reproduce its text. Read the official announcement ↗ (opens in a new tab)

What changed

Summarized from the announcement
RequirementPreviouslyNow
Cash-out additional loan-level price adjustmentRemovedNot statedThe supplemental cash-out price adjustment has been eliminated from conventional grids.
Applies when: Purpose is cash_out_refi

What to do

AWACS interpretation · not source language

What to review: Review pricing grids to take advantage of the removal of the supplemental cash-out price adjustment for eligible conventional best efforts commitments locked starting June 23, 2026.

QC implications

  • Sample conventional cash-out refinance best efforts commitments locked on or after June 23, 2026, to verify that the eliminated supplemental cash-out price adjustment is not being assessed.

Source and record

Version 1 · archived

Checks

  • Source verified: Passed

    The document ID, link and publication date match the official source.

  • Quotes match the source: Passed

    Every quoted passage appears word for word in the official document.

  • Requirements backed by the source: Passed

    Anything marked required is backed by the requirement language and dates in the source.

  • In scope: Passed

    The document is about residential mortgage lending.

  • Format and labels: Passed

    The record follows the AWACS format and uses its standard labels.