A disparity that had once existed between larger and smaller sellers on guarantee fees charged by the government-sponsored enterprises has been eliminated.
In general, G-Fees charged by Fannie Mae and Freddie Mac during 2015 were little changed compared to the G-Fees in place as of one year previous.
G-Fees remained similar to 2014 even though the GSEs were directed by their regulator in April 2015 to eliminate adverse market charges in place since 2008.
That was according to
Fannie Mae and Freddie Mac Single-Family Guarantee Fees in 2015 from the Federal Housing Finance Agency — which is required under the Housing and Economic Recovery Act of 2008 to deliver an annual G-Fee report to Congress.
“Guarantee fees are intended to cover the costs the enterprises incur for guaranteeing the payment of principal and interest on single-family loans they acquire from mortgage lenders,” the regulator and conservator of the pair of secondary lenders said. “These costs include projected credit losses from borrower defaults over the life of the loans, administrative costs, and a return on capital.”
FHFA noted that it directed Fannie and Freddie in late 2012
to remove pricing concessions for the largest lenders.
As a result,
G-Fees charged to the largest and smallest lenders had no material differences as of 2015.
