The Biden administration wants homebuyers who have good credit to cover the risks of lending to homebuyers who don’t. Congressional Republicans should stand united against this latest White House effort to erode the value of personal responsibility.
The New York Post reported this week that Fannie Mae and Freddie Mac are prepared to overhaul the fees built into mortgages issued at private banks. The charges — known as low-level price adjustments — are based on a handful of factors and often absorbed into a buyer’s mortgage rate.
Under the Biden plan, those with better credit scores would face additional surcharges while those with substandard credit scores would see fees cut nearly in half.
