On February 1, 2023, Fannie Mae announced a new seasoning requirement for cash-out
refinances in Selling Guide Announcement SEL-2023-01. Specifically, it requires first lien
mortgages paid off with a cash-out refinance be at least 12 months old. The 12-month
period is measured from the note date of existing loan to the note date of the new loan. This
requirement does not apply:
 to any existing subordinate liens being paid off through the transaction, or
 when buying out a co-owner pursuant to a legal agreement.
This change is in addition to the existing requirement that at least one borrower be
vested in title of the subject property for at least six months prior to the disbursement date of
the new loan, unless subject to one of the ownership exceptions permitted in the Selling

Full Memorandum