Freddie Mac is one of the two quasi-governmental mortgage investment companies regulated by the Federal Housing Financing Agency. Freddie Mac buys mortgage loans from banks who have made the mortgage loans to consumers. Freddie Mac sets criteria for the loans that they will buy and banks try to meet these criteria in order to sell the loans. When banks get money from Freddie Mac, they have more money to loan to home buyers.
After years of rising higher, Freddie Mac announced this morning that conventional mortgage loan limits will stay the same in 2007. Loan purchase limi...
Now you can get a mortgage for up to $417,000 and still not move into jumbo-loan interest rate territory. While the new conforming loan limits will give buyers of higher-priced homes more low-down payment and low-cost loan options, it won't mean much to those home buyers in the middle of the country where home prices tend to be less.
HUD sets home ownership rate goals for Fannie Mae and Freddie Mac to enable each year and the two met the housing goals consistently. To increase rates of home ownership, Fannie Mae and Freddie Mac try to encourage banks to make home loans to low-income and minority Americans. Learn also how home ownership benefits a community.
Usually, after you have enough equity in your home, you can cancel private mortgage insurance (PMI). But if you have a mortgage from Fannie Mae or Freddie Mac you may have to follow different rules. Find out some of the rules concerning canceling PMI for mortgages from Fannie Mae and Freddie Mac.
With the Federal Reserve holding interest rates low, mortgage loan rates are also low. As a result more home buyers are buying homes and demand for homes is increasing. Home values are rising but by how much depends on what region of the country you're in. Economists expect interest rates to stay low for the next year or so.
To reduce the number of mortgage loan refinancings, Fannie Mae instituted a fee. Fannie Mae's refinancing fee should offset the cost of people defaulting on their mortgage loans. In addition, Fannie Mae is limiting home owners to refinancing no more than once per year. Learn more about Fannie Mae's new refinancing policies.
Some home owners had trouble making mortgage payments after 9-11. Experts from the Mortgage Bankers Association put their delinquency rates into perspective. Learn also how mortgage lenders and secondary market players such as Freddie Mac work to combat mortgage fraud.
If you fall behind on your mortgage or are facing foreclosure, the first step is not to panic and get on the phone with your lender. Lenders don't want to see borrowers foreclose on their homes, and often can work with the borrower to get on a payment plan that will get you back on track. Another option to avoid foreclosure is to sell your home, even if it's a short sale.