Special Update: GSE Fee Increases to be Delayed
Over the weekend, incoming FHFA Director Mel Watt stated that as soon as he is sworn in, he intends to delay the implementation of the loan-fee increases as were recently announced by outgoing Director Edward DeMarco. It is believed that the delay will cover increases to both the guaranty fee and the loan level price adjustments. It was not clear if Watt’s announcement meant he will also delay DeMarco’s planned elimination of the .25% Adverse Market Delivery Charge (for all but four states). Watt said he needs time to “evaluate fully the rationale for the plan".