The Federal Housing Finance Agency (FHFA) has sent a Notice to the Federal Register presenting an approach to adjust the guarantee fees (g-fees) that the government-sponsored enterprises (GSEs)—Fannie Mae and Freddie Mac charge on single-family mortgages in states where costs related to foreclosure practices are statistically higher than the national average. The size of the fee adjustments are intended to reflect the disparity in costs, as compared to the national average. The Notice invites public input on this approach and potential future approaches to setting and adjusting state-level g-fees.
As conservator of the GSEs, FHFA has a statutory obligation to preserve and conserve their assets and has a responsibility to ensure that the companies properly measure and manage risk and that they are compensated for the costs they incur. After the FHFA’s review and consideration of public input, FHFA will determine a final methodology for state-level guarantee fee pricing. FHFA expects to direct Fannie Mae and Freddie Mac to implement the pricing adjustments in 2013.
The FHFA is accepting submissions from the public for 60 days after the Notice appears in the Federal Register. Submissions may be sent by e-mail to [email protected]
or by mail to FHFA OPAR, 400 Seventh Street, SW, Ninth Floor, Washington, DC 20024.