Extension Fees & Agency G-Fees

Fannie Mae’s Guarantee Fee Increase and its Impact on Your Pipeline

On Friday, August 31, 2012, the Federal Housing Finance Agency (FHFA) directed Fannie Mae to increase its guarantee fee (G-Fee). The higher fee will be in effect with security settlements starting December 1, 2012.

Due to the increased G-Fee, loans will incur different extension fees based on a combination of their lock date, lock period, and the date the loan is purchased. This applies to CONVENTIONAL LOANS ONLY.  Please see the tables below for the important dates and the associated extension fees.

 

Lock Date

Lock Period

Extension Cost

8/31 or prior

All

Loan must be purchased by 10/31 or INCREASED extension fees will apply

9/4 to 9/20

12, 21, 30

Loan must be purchased by 10/31 or INCREASED extension fees will apply

45, 60

Loan will receive REGULAR extension fees regardless of purchase date

9/21 to 9/27

12, 21

Loan must be purchased by 10/31 or INCREASED extension fees will apply

30, 45, 60

Loan will receive REGULAR extension fees regardless of purchase date

9/28 to 10/7

12

Loan must be purchased by 10/31 or INCREASED extension fees will apply

21, 30, 45, 60

Loan will receive REGULAR extension fees regardless of purchase date

10/8 or later

All

Loan will receive REGULAR extension fees regardless of purchase date


 

Extension Term

REGULAR Extension Fees

INCREASED Extension Fees

 

All Conventional Programs

Conventional 10-year, 15-year, ARMs

Conventional 20-year, 25-year, 30-year

3 days

0.075

0.450

0.825

7 days

0.175

0.550

0.925

15 days

0.250

0.625

1.000

30 days

0.500

0.825

1.250


Please contact your Account Executive with any questions.