The Federal Housing Finance Agency (FHFA) has directed Fannie Mae and Freddie Mac  to increase the guarantee fee charged for all new mortgages financed on or after April 1, 2012. What this mean is that rates on these agency loans will start to reflect higher costs in April.  The rate increase will affect only Fannie Mae and Freddie Mac products at this time.

In addition to this increase, FHA monthly mortgage insurance premium will be going from 1.15% to 1.25% to help offset the temporary tax extension of two months.

If you are looking at homes, now is a great time to put in an offer before some of these increases are put into place.   Contact your lender today to find out how these increases can affect you.

Let me know if you need a lender name.

 

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