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.