It seems like just yesterday when I was emailing realtors regarding some of the changes that Fannie Mae had made limiting loans to individuals who have more than four financed properties. Then I receive this update to which changes the guidelines (Announcement 09-02):
Multiple Mortgages to the Same Borrower
To support prudent lending for housing investment, Fannie Mae is changing our current limit of four financed properties per borrower. We will allow five to ten financed properties per borrower, with certain eligibility and underwriting requirements, including a 720 minimum credit score and 70-75% maximum LTV/CLTV/HCLTV (depending on the transaction and property type). The requirements apply to any loan being delivered to Fannie Mae, regardless of whether Fannie Mae is the investor on the borrower’s other mortgages.
Stay tuned – more changes are I am sure on the way!
