Loan officers will have some unpleasant news for their customers in 2012: the cost to obtain a new government-backed mortgage will be rising.
In late December Congress passed a short-term extension of the payroll tax cut, financing it with a 10 basis point hike in Fannie Mae and Freddie Mac guarantee fees.
Those fees will be charged to mortgage firms, which in turn are expected to pass the cost onto homebuyers and mortgagors seeking to refinance.
The payroll tax bill (H.R. 3630) signed by President Obama is expected to generate $35 billion over 10 years. The money collected will go to the U.S. Treasury Department and will not repay the government for bailing out the two GSEs.
