The Real Deal Miami

Freddie Mac raises fees to lenders

February 26, 2008 04:48PM

In an effort to protect itself from risky debt, the
government-sponsored financier Freddie Mac has created a fee for
lenders that provide mortgages for more than 80 percent of a home’s
value. The fees, which effectively raise the 6 percent interest rate on
such loans to around 6.05 percent, often get passed on to borrowers.