Market Condition Fee for Refinances Eliminated
At the direction of FHFA, we will no longer assess the 50 basis points, market condition credit fee in price for certain cash-out and “no cash-out" refinance mortgages, effective for settlements on and after August 1, 2021.
FHFA issued a press release today stating that, “The success of FHFA and the Enterprises’ COVID-19 policies reduced the impact of the pandemic and were effective enough to warrant an early conclusion of the Adverse Market Refinance Fee.”
We will update Exhibit 19, Credit Fees in Price and the applicable sections of the Single-Family Seller/Servicer Guide with a future Selling Bulletin. The Exhibit 19 Fee Calculator will be updated prior to August 1 to reflect this fee elimination.
We are working to update Loan Selling Advisor® over the next several days to align with this announcement. We will communicate this information once we have completed our systems update.