Photo courtesy AP Photo/David Zalubowski
Photo courtesy AP Photo/David Zalubowski
Fannie May unveiled two new changes to loans that will make them more available to more more home buyers, Forbes contributor Mark Greene reports. 

Following the mortgage meltdown of 2008, Fannie Mae (along with Freddie Mac) recognized the need for the banking industry to tighten credit guidelines. This and a vacuum in the market led to the development of the High Balance conventional loan. With availability up and delinquency down, Fannie Mae has made two major changes to High Balance conforming loans:

  • First and foremost, the 10% minimum down-payment has been changed to 5%, just like ordinary conforming loans
  • Secondly, borrowers are no longer required to have 5% of their own money actively in the deal if they are putting down less than 20%.

To learn more about these new changes to Fannie Mae loans, check out Forbes:

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