Fannie Attempts to Further Tighten Its Mortgage Underwriting Standards
September 11, 2008
Fannie Mae announced a significant tightening of mortgage purchases late last week, although the recent takeover of the government-sponsored enterprise suggests the new policies may soon be reversed.Fannie introduced new seasoning requirements for refinance transactions that prohibit cash-out mortgages if the borrower purchased the loan within the past 6 months. Fannie’s Desktop...