Cross Currents on Conforming Loan Issue Likely To Have Little Impact on Fannie/Freddie Business
December 1, 2011
The decision to restore emergency high-cost loan limits for the FHA, but not for Fannie Mae and Freddie Mac, will likely have a negligible impact on the government-sponsored enterprises, according to a new Inside Mortgage Finance analysis of agency jumbo mortgage activity. During the first nine months of 2011, single-family loans exceeding $625,500 the top GSE loan amount for high-cost markets since Oct. 1 accounted for an infinitesimal 1.5 percent of Freddie Macs total single-family securitization. Although the FHA can resume insuring...(Includes three data charts)