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Two Massive Fannie Mae Changes

Mike Chissell, Trusted Mortgage Advisor • Aug 13, 2021

We’ve got some exciting news heading our way that will help buyers qualify to buy the property of their dreams! Starting September 18th, Fannie Mae will make the following changes.

#1 - Fannie Mae will now use positive rental payment history into their risk

assessment when qualifying for a home.

If they have rented for over a year and the rent payment is over 300 per month, this can now be used to supplement their credit. This can help get approvals that would have normally been declined by supplementing below average credit with 12 months of rental history with no missed payments.


#2 – On files with more than one borrower, Fannie Mae will start taking the average of the middle credit scores for qualification purposes.

For example, let’s say you are trying to purchase a home with your spouse. Your

middle credit score is 700, but your partner’s is 600. With the current rules, you

wouldn’t be able to qualify for a Fannie Mae automated approval, due to not having a minimum 620 middle credit score. Starting September 18th, they would take the

average of the two credit scores and for qualification purposes would use a 650. That is an incredible change that is going to help many buyers achieve the American Dream!

There are too many details involved with these changes to have in the article. If you are interested in learning more about these changes or have any questions regarding mortgage financing, please contact Chissell Mortgage today at (727) 376-6900.


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