Saturday, July 31

Tag: mae

Fannie Mae Announces Mortgage Principal Reductions

Fannie Mae Announces Mortgage Principal Reductions

Real Estate
The troubled housing market continues to offer unusual possibilities for American home buyers. But with rising foreclosure rates, record default notices, and the almost certain prospect of a flood of REOs on the market in the coming months, interest rates may soon begin to reflect some hope for a more favorable trend. On March 26th, Fannie Mae announced a program intended to assist delinquent oraration homeowners in their ability to negotiate reduced mortgages. Fannie Mae has been showing significant resistance to forward sales of subprime loans. Despite the current mortgage crisis, they have still managed to obtain loans for a full 90% of home buyers at relatively low interest-rates. The purpose of the new program is to encourage lenders to reduce loan amounts for homeowners in nee...