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  • Comment Detail

  • Date: 12/17/13
    First Name: Gary
    Last Name: Hughes
    Organization: N/A
    City: N/A
    State: N/A
    Attachment: N/A
    Number: 2013-N-18

  • Comment

    Dear Lady or Gentlemen,

    In respect to your upcoming evaluation of loan limit adjustments I want to provide my input that I believe this will be a large and unnecessary mistake if you reduce from current limits.

    Both Fannie Mae and Freddie Mac have become extremely conservative in their underwriting modules and have extracted significant amounts of capital profit in loan level adjustments. They are now demonstrating the type of responsible underwriting that may have helped stave off the financial issues of 2007 and 2008.

    Until there is a significant foundation for a competitive product in the mortgage marketplace by private capital, reducing their loan limits can only hamper and hurt the responsible potential home buyer by driving that borrower to a non agency product.

    The lowering of loan limits by these small amounts makes no logical sense....especially when the GSE's are now operating in a responsible manner. Let's allow them to continue and repay the American tax payer as the private markets begin to reemerge.

    Sincerely,