As promised, FHFA today proposed pricing g-fees based on how long it takes to foreclose in individual states. Unsurprisingly, the states – Florida, Illinois, New Jersey, Connecticut and, the big loser, New York – are none too happy, nor is the industry likely to sit back and watch ever rising fees in key markets. At a time when the FRB is putting its life on the line to buy agency paper in QE3’s attempt to lower mortgage rates, constantly rising fees also tread on some very big toes.
The full report is available to subscription clients. To find out how you can sign up for the service, click here