Lender Level Price Adjustments EXPLAINED

Big Changes about to be implemented in how FNMA and Freddie MAC are going to price in risk.
The agencies have always had specific "price tags" for different risk properties unique to each borrower - some combination of borrower CREDIT SCORE // DOWN PAYMENT // PROPERTY TYPE // AND LOAN PURPOSE would create different rate outcomes for different scenarios. Makes sense for sure!
But we are going to be seeing some slightly different rates for common scenarios moving forward. This will become the new normal.
Some scenarios will become LESS EXPENSIVE - and some will become MORE EXPENSIVE - I'm including a "heat map" here for quick reference. The RED areas have become more expensive, and the GREEN areas are less expensive.
Some things that really STAND OUT to me on immediate review are:
1. 3% down purchase options have become less expensive across the board
2. Credit tiers have expanded to include new prices for 760-779 and 780+
3. 2-4 unit property price adjustment has been REDUCED, and now ELIMINATED if the LTV is 60 or better
4. The INVESTOR / non-owner occupied risk adjustment has been REDUCED at the 30% down level and further reduced at 40% down
5. There is a BRAND NEW price hit for debt to income ratios above 40%

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