What's Hot: RFK Stadium Cleared For Demolition | Airbnb Unveils Icons
Obama Administration Poised to Propose Mortgage Changes
The Obama administration could recommend reducing the size of mortgages eligible to receive government aid, The Washington Post reported this morning.
Currently, mortgages up to $729,750 are able to receive backing from the federal government, and these loans usually have lower interest rates than those that are not government-backed. Long-term (30-year) loans under $417,000 are eligible to receive the lowest rates, and as the size of the mortgage increases, the rates also go up.
The Post reports that the loan limit for mortgages receiving government support will likely be lowered to $625,500 as of September. The proposal will be part of a report expected next week that will also look into the fate of Fannie Mae and Freddie Mac.
Borrowers who will most be affected by this change are those taking out loans between what could be the new limit ($625,500) and the old limit ($729,750). From The Post:
Keith Gumbinger, a vice president at mortgage research firm HSH Associates, said he expects that borrowers who took out loans between $625,500 and $729,750 would pay “slightly more expensive rates” if the current proposal is enacted, “but jumbos were always slightly more expensive.”
See other articles related to: fannie mae, freddie mac, interest rates, mortgages, obama
This article originally published at https://dc.urbanturf.com/articles/blog/obama_administration_poised_to_propose_mortgage_changes/2951.
Most Popular... This Week • Last 30 Days • Ever
Georgetown Metropolitan reported on Tuesday that the Instagram account for the nation... read »
A Home Equity Line of Credit, commonly referred to as HELOC, is a borrowing product t... read »
The National Park Service has given the green light for DC's 62 year-old stadium to b... read »
UrbanTurf continues our tour of neighborhood developments around the region as we tak... read »
A regular inclusion as one of DC's most expensive housing markets, Georgetown remains... read »
DC Real Estate Guides
Short guides to navigating the DC-area real estate market
We've collected all our helpful guides for buying, selling and renting in and around Washington, DC in one place. Start browsing below!
First-Timer Primers
Intro guides for first-time home buyers
Unique Spaces
Awesome and unusual real estate from across the DC Metro