The Federal Housing Finance Agency (FHFA) announced this week it has rescinded the upfront fees based on borrowers’ debt-to-income (DTI) ratios acquired by Fannie Mae and Freddie Mac. The FHFA announced in January a new upfront fee for certain borrowers with a DTI above 40%, followed by an announcement in March it would delay implementation.
According to the FHFA, it received feedback from mortgage and other industry participants on challenges implementing the DTI ratio-based fee.
“To continue this valuable dialogue, FHFA will provide additional transparency on the process for setting the Enterprises' single-family guarantee fees and will request public input on this issue." said FHFA Director Sandra Thompson.
Credit Union Magazine’s Summer 2023 issue highlights the lending outlook for the rest of the year, how credit unions leverage fintech companies to boost digital lending, the power of lending partnerships, common Bank Secrecy Act violations, and the shift board members must make when becoming chair.
