To cancel certain proposed changes to loan level price adjustments by the Federal National Mortgage Association and credit fees charged by the Federal Home Loan Mortgage Corporation.

12/15/2023, 3:57 PM

Summary of Bill HR 2876

Bill 118 hr 2876, also known as the "Loan Level Price Adjustment and Credit Fee Cancelation Act," aims to cancel certain proposed changes to loan level price adjustments by the Federal National Mortgage Association (Fannie Mae) and credit fees charged by the Federal Home Loan Mortgage Corporation (Freddie Mac).

The bill seeks to prevent Fannie Mae and Freddie Mac from implementing any new adjustments to loan level prices or credit fees that would potentially increase costs for borrowers. These adjustments are typically based on factors such as credit score, loan-to-value ratio, and property type, and can significantly impact the overall cost of a mortgage.

By canceling these proposed changes, the bill aims to ensure that borrowers are not unfairly burdened with additional costs when obtaining a mortgage through Fannie Mae or Freddie Mac. This is particularly important as the housing market continues to face challenges and uncertainties, and many Americans are struggling to afford homeownership. Overall, the Loan Level Price Adjustment and Credit Fee Cancelation Act seeks to protect consumers and promote access to affordable housing by preventing unnecessary increases in mortgage costs imposed by Fannie Mae and Freddie Mac.

Congressional Summary of HR 2876

This bill prohibits the Federal Housing Finance Agency, the Federal National Mortgage Association (Fannie Mae) and the Federal Home Loan Mortgage Corporation (Freddie Mac) from implementing their January 2023-announced changes to the single-family pricing framework for fees on purchase, rate-term refinance, and cash-out refinance loans. The changes revise the fee charts that provide percentage adjustments based on a borrower's credit score and other factors.

Current Status of Bill HR 2876

Bill HR 2876 is currently in the status of Bill Introduced since April 26, 2023. Bill HR 2876 was introduced during Congress 118 and was introduced to the House on April 26, 2023. Bill HR 2876's most recent activity was Referred to the House Committee on Financial Services. as of April 26, 2023