Costs of Fannie and Freddie loans going up in April

Bloomberg gazes into the crystal ball to opine on the impact of the rise in guarantee fees at you-know-where. Fannie Mae, Freddie Mac and the Federal Housing Administration will soon charge more to guarantee home-loan debt, starting with an increase of 0.1 percentage point at Fannie Mae and Freddie Mac in April. Costs will rise as much as 0.45 percentage point over the next two years, according to Nomura Securities. “The greater fees suggest that Congress and President Barack Obama’s administration are willing to bet the housing recovery is far enough along to withstand the rise,” the article states.

Posted in Home Ownership and tagged .

Leave a Reply

Your email address will not be published. Required fields are marked *