Freddie Mac makes a move to stabilize the conforming-jumbo loan product

Freddie Mac makes a move to stabilize the conforming-jumbo loan product

blind-fold.jpgIn the news late last week, Freddie Mac makes a move to stabilize the conforming-jumbo loan product, by guarantying 90 day forward commitments to 4 big loan players.  This should trickle down to mid-sized mortgage bankers as well, through their correspondent channels.Freddie Mac said Thursday that it will guarantee 90-day, forward-delivery pricing on “conforming jumbo” mortgages it buys from Wells Fargo & Co., Washington Mutual Inc., JPMorgan Chase & Co., and Citigroup Inc.

The government-sponsored enterprise can buy such credits, for loan amounts between $417,000 and $729,750, under the temporary increase in conforming-loan limits that took effect last month and will expire Dec. 31.

Subscribe to our daily mortgage market emails.

Have a Question?

Legal Disclaimer
Or give us a call
925-484-5363