Rob Zimmer, head of external communications for CMLA, described it this way: "It’s a terrible policy idea, given that only the middle class pays it. Wealthy households paying cash for homes or using jumbo mortgages won’t pay a dime."
If mortgage lenders thought g-fees might decline this fall, they may be gravely disappointed. Meanwhile, the adverse market refi fee clearly boosted Freddie Mac’s 2Q21 results.
Lenders argue that Thompson should focus on reversing unpopular policies initiated when Mark Calabria was FHFA director. They point to unvetted credit requirements and the product caps included in the PSPAs.
The Supreme Court remanded a portion of the case, leaving it for the Fifth Circuit Court of Appeals to decide how to handle the question of whether the unconstitutional nature of FHFA’s leadership structure damaged shareholders and, if so, what kind of compensation they might be owed.
Some GSE watchers are predicting the White House won’t pick a FHFA director nominee until after the mid-term elections. We understand that acting director Sandra Thompson, a career regulator, has begun meeting with trade groups...
Big-league housing groups, including the Mortgage Bankers Association and the National Association of Realtors, warned senators not to use the g-fee as “the nation’s piggybank.”
As the first Senate-confirmed head of domestic finance in nearly a decade, the former Fed economist could play a vital role in renegotiating the PSPAs between Treasury and FHFA.