3.15.24
The Fannie Mae pilot program from 2023, intended to eliminate title insurance on low-risk refinance transactions, was reintroduced during the State of the Union address on March 7. The initiative, which aims to reduce barriers to homeownership, could reduce borrowing costs to consumers by 0.5%, or $1,500 on a $300,000 mortgage. Initially facing opposition from the title and settlement industry in 2023, the program was terminated by the Federal Housing Finance Agency (FHFA), which oversees Fannie Mae. This year, if successful, the pilot program could potentially expand to include other types of mortgages.