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  • October 2010
    M T W T F S S
    « Sep   Nov »
  • Mary K. Lenahan, J.D., Realtor

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Historical Low Interest Rates Come with a Cost: Fannie and Freddie Add-On Fees

According to an article in the LA Times, if you want to take advantage of historically low-interest rates, you will have to pay “loan-level pricing adjustments”:  aka add-on upfront fees for refinancing imposed by Fannie Mae and Freddie Mac.   

Some of the hurdles and costs confronting a borrower are “sharply increased credit score requirements, higher down payments and add-on fees imposed by mortgage giants Fannie Mae and Freddie Mac, which control about two-thirds of the loan volume”. 


If you can qualify – those hurdles may be worth jumping and costs may be worth paying.  California rates today for a 30 year fixed is 4.06%. 


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