Quick news from the world of mortgage lending.

Fannie Mae is tightening up on requirements for second homes and investor properties. Manual underwriting is no longer allowed for purchases and each case must have an Approved/Eligible recommendation description through DU…

Fannie is imposing a cap of 7% on these originations as well as a cap on “multi-layered” risk loans…

The agencies have also extended COVID related flexibilities for processing and appraisals until the end of April, referring to this as the final extension…

FHA has announced the removal of the use of the Libor Index for adjustable rate HECM’s and permits the use of the SOFR for adjustable rate HECM’s…

The Fed reiterated their commitment to keeping short-term interest rates low for an extended period, even as their 2021 forecast for growth has risen.