Fannie Mae reduces its max LTV to 95

Fannie Mae reduces its max LTV to 95

Does the data support the move? As of November 1, 

Fannie Mae is no longer purchasing loans without minimum down payments of at least 5 percent. Industry experts with the Urban Institute’sHousing Finance Policy Center argue this move is arbitrary and likely to provide little benefit to the GSE or to taxpayers.

Fannie Mae’s decision to lower its maximum threshold for loan-to-value (LTV) ratios from 97 percent to 95 percent follows a similar decision by Freddie Mac a few years ago.
See new rules at our website.