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How First Choice Funding Compares to Other Refinancing Services


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FANNIE MAE AND FREDDIE MAC LOANS

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The Time is NOW

Why Refinance Now?


Is now a good time to refinance?

Mortgage rates have fallen to record lows, leading to a refinancing boom. But, a new fee announced in mid-August by mortgage giants Fannie Mae and Freddie Mac might complicate your refinance decision.
The agencies, which back most mortgages in the U.S., say they’ll begin charging a new 0.5 percent fee on all refinancings of $125,000 and over that close after Dec. 1. 

That would add $1,500 in new costs for a borrower refinancing a $300,000 loan. But the fee gets complicated: Lenders, not borrowers, pay the fee, and they've begun charging higher interest rates to absorb the new cost.

The fee only applies only to loans backed by Fannie Mae and Freddie Mac. So you might be able to skip this fee if you work with a lender that holds the loans it originates in its own portfolio. All jumbo loans fall into this category and would avoid the new fee.
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TYPES OF REFINANCES


  • SINGLE FAMILY

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