Fannie Mae recently announced changes to conforming loan guidelines and all of the updates are potentially very good news for borrowers. In fact, a recent Forbes article stated that “mortgage financing will become more available to more home buyers as a couple of game changing underwriting guideline enhancements come online.” It’s important to understand what has changed and what it means in terms of qualifying for a mortgage. Here are some highlights:
As of January 26 Fannie Mae will make their Collateral Underwriting (CU) tool available to lenders during the underwriting process. The announcement has elicited mixed reactions from industry experts. So what does it all really mean?