Your Distressed Property and Short Sale Expert in Maryland
Just like Freddie Mac did last fall, Fannie Mae will be adding a new schedule of add-on fees for borrowers to pay, either up front or financed into their mortgage, wether they have great credit and a large down payment or only fair credit and a not so big down payment.
Since foreclosure and short sales have been so costly to Freddie and Fannie, which together continue to fund or guarantee two thirds of new mortgages, they are trying to prevent further losses by initiating a multilayered risk based fee system.
Each risk factor has a separate add-on fee which is totaled and added to the buyers closing costs. Some real estate(condos) types are a higher risk factor, lower credit scores, lower down paments, investment properties, manufactured homes, and intererst only loans are also on the list.
All loans will have an adverse market fee of 0.25%
Even someone with a credit score over 800, and a 25% down payment will probably pay another 0.25% risk fee, but someone with a FICO score of 679 and a < 20% downpayment may be hit with a 2.75% risk fee. Add that up!
Yes, they cast taxpayers at least $150 Billion, and "we" now own Fannie and Freddie, but are they are bitting the hand that feeds them?
My advice - HURRY, and get your mortgage loan in order before these fees hit you this spring - do not tarry!
Private lenders may try to out compete, but most of their loans go to F&F, so they must follow the guidelines,, again HURRY i fyou plan to buy.
Dennis
Working with Distressed Homeowners to Avoid Foreclosures
www.MarylandDistressedProperties.com
www.Frederick-MontgomeryCountyHomes.com
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