FHFA looking at g-fee increase

|By:, SA News Editor

The FHFA is requesting mortgage industry comment on whether Fannie Mae (FNMA) and Freddie Mac (FMCC) should raise  "guarantee" fees charged to lenders. These fees are typically passed along to borrowers, but the FHFA could look to offset that by making credit more readily available to lesser qualified borrowers as well as subsidizing the cost of the fee in other ways.

The FHFA policy on fees - that they would gradually rise throughout 2014 - changed abruptly as Ed DeMarco was replaced at the top with Mel Watt earlier this year.