With Fannie already over the PSPA cap on non-owner-occupied loan volume, lenders may have to dramatically reduce their delivery of second-home and investor-property mortgages.

Small lenders believe the GSEs should offer special programs for small servicers and rural appraisals. And like their larger competitors, they don’t like the new PSPAs.

Fannie and Freddie spell out eligibility terms in the wake of the amended PSPAs.

Even though the GSEs actively support small lenders on the single-family side of the house, critics say their multifamily businesses continue to favor larger financial institutions.

The GSEs’ aversion to projects that include transient rental income has riled investors and second-home buyers in some resort communities.

Fannie continues to cut the size of its retained mortgage portfolio.

FHFA says it has not “extended” the fee because it never announced an end date. Nevertheless, it will review the financial situation in October.

Independent mortgage bankers continue to argue that GSE caps on risk-layering and limits on mortgages for second homes and investment properties will harm borrowers and lenders alike.

Mat Ishbia, the CEO of the nation’s largest table-funder United Wholesale Mortgage, said FHFA limits on GSE purchases of second home and investment property mortgages are already adding to consumer costs.

An Inside The GSEs analysis of UMBS issued by Fannie and Freddie over the past two years suggests the $1.5 billion cash-purchase cap will undercut loan sales at scores of lenders. (Includes data chart.)