HomeReady will become part of DU later this year and replaces the MyCommunityMortgage product, which in some circles was known as Fannie’s “subprime” option.
However, the ground breaking MBS from Lone Star did not receive ratings and was not subject to requirements from the SEC regarding the disclosure of third-party due diligence.
Freddie’s multifamily business grew so much that some industry observers worried that the GSE could reach the $30 billion annual multifamily business cap set by the FHFA.
Dan Perl, who runs Citadel Loan Servicing, Irvine, CA, said he woke up Monday morning and immediately cut his rates by 25 basis points across the board.