Increased Loan Fees On Second-Home Loans | Real Estate
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Fannie, Freddie Increasing Fee on Second-Home Loans FHFA is increasing the "G-fee" on most high-balance and second-home mortgages. The increase in the so-called "G-fees" begins on April 1, 2022, according to FHFA’s announcement. Starting in April, G-fees for the affected high-balance home loans will increase between 0.25% and 0.75%, tiered by loan-to-value ratio. The National Association of Realtors® (NAR) opposes G-fee increases but says the latest change has a positive side if it helps Fannie and Freddie maintain broad liquidity as the federal government pulls back unprecedented support during the pandemic. Realtors® believe any excess revenues gleaned from the fee increases must be used to support homeownership opportunities in underserved communities, expanding affordability and access in a safe manner."
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