Investment property mortgage rates up - Fannie Mae changes

[Erik Sherburne]

Anyone else see this?

http://www.mortgagenewsdaily.com/channels/community/969950.aspx

It was sent to me by my broker.

Short version, Fannie Mae is reducing their 2nd home/rental property portfolio to 7% of the overall loans purchase which means higher rates for us.

[Josh Chastain]

@Erik Sherburne I'm in the middle of refi and this has directly impacted me. Last Friday, 3/12, 3pts = 3.375% now according to the lender its 3pts = 3.75%. Guess I should've moved faster.....This is for a duplex in the Columbus, OH. Although the news article, linked below, states it goes into effect April 1st but I suppose since the news is out the market has already adapted so even if I switched lenders it wouldn't matter. 

-----the email form the lender does a better job describing the change and perhaps will help somebody else, see below------

Below are the current rate options. Effective late Friday our industry put a new loan level price adjustment in play thanks to the limitations Fannie Mae put into place - http://www.mortgagenewsdaily.com/03112021_loan_underwriting.asp
With that said here is the option based on a value of $190k and a loan amount of $133k - 70% LTV.100.00 is the 'par' no cost option. Anything under and we have to charge as a 'discount' to get back to 100.00.We could offer 3.75% for a cost of 3pts

If we're able to keep the LTV under 60% there's a bit of savings.The LLPA's are much less and we'd be at 3.625% for 2pts.