When autocomplete results are available use up and down arrows to review and enter to select.
The Federal Housing Finance Agency said the average single-family guarantee fee increased by 4 basis points to 61 basis points in 2022.
Details: In its latest annual report on single-family guarantee fees, or g-fees, charged by Fannie Mae and Freddie Mac, the FHFA said:
The upfront portion of the g-fee, which is based on credit risk attributes, increased by 3 basis points to an average of 17 basis points in 2022.
The increase in upfront fees was driven by a shift from a predominantly refinance market to a predominantly purchase market.
The average g-fee in 2022 on 30-year fixed-rate loans rose by 3 basis points to 63 basis points, while the average on 15-year fixed-rate loans was unchanged at 42 basis points.
Background: Guarantee fees are intended to cover the expected credit losses, administrative costs, and cost of capital that the enterprises incur when they acquire single-family loans from lenders.