Guarantee fees are intended to cover Fannie and Freddie’s administrative costs, expected credit losses, and cost of capital associated with guaranteeing securities backed by single-family mortgage loans.
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“Through this RFI, FHFA seeks input on how to ensure the pricing framework adequately protects the enterprises and taxpayers against potential future losses, supports affordable, sustainable housing and first-time homebuyers, and fosters liquidity in the secondary mortgage market,” FHFA director Sandra Thompson said. “We are committed to being transparent and to considering views from a diverse set of stakeholders and market participants.”
FHFA accepts responses to the RFI until August 14.
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