Loan Level Price Adjustment on multi's 4 or less

[George Paiva]

I just got off the phone with the regional bank here in town. I was inquiring about a loan product for 3 or 4 units. It seems since they are fannie mae based I have to come up with a "Loan Level Price Adjustment" of 1.75% to 3.00% depending on loan amount.

I was told this is a mandatory fee charged by Fannie, it's a substantial charge that I didn't see in past experiences. I wonder if this is part of their new guidelines. Oh and this is with down payment of 25%.

Thoughts? Maybe try to find a bank that doesn't do fannie mae?