The Federal Housing Finance Agency (FHFA) Friday announced the elimination of its adverse market refinance fee for loan deliveries, effective Aug. 1. CUNA urged the fee be withdrawn in a letter to acting FHFA Director Sandra Thompson June 30.
“CUNA has strongly opposed the adverse market fee since it was announced, and we appreciate Acting Director Thompson for listening to our concerns and rescinding the fee,” said CUNA President/CEO Jim Nussle. “This is an appropriate action given the strength of the current housing market and will lower the cost of refinancing for credit union members.”
The FHFA announced the fee last year, and after CUNA expressed numerous concerns, the implementation was delayed and the fee was only applied to refinancings of loan balances below $125,000.