On August 12, 2010, the Federal Housing Finance Agency (FHFA) proposed a regulatory guidance for public comment that would restrict Fannie Mae, Freddie Mac and the Federal Home Loan Banks from investing in mortgages with private transfer fee covenants. This guidance would extend to mortgages and securities purchased by the Federal Home Loan Banks or acquired as collateral for advances, as well as to mortgages and securities purchased or guaranteed by government sponsored enterprises (GSEs). This action would end the use of private transfer fees in 60 to 70 percent of the real estate market.
The proposed guidance has been published in the Federal Register and the public comment period has begun. NAR is asking all state and local REALTOR associations to send a letter to the FHFA opposing private transfer fees and their use in GSEs. Included with this e-mail you will find a draft letter that we have prepared for REALTOR® associations to use.
You can access a Word version of the letter here: http://www.realtoractioncenter.com/docs/REALTOR-Association-Comments-FHFA-PTF-Guidance-09012010.doc.
You can access a PDF version of the letter here: http://www.realtoractioncenter.com/docs/REALTOR-Association-Comments-FHFA-PTF-Guidance-09012010.pdf.
These letters can be sent FHFA in one of three ways:
1. You can e-mail comments to [email protected].
Please include “Guidance on Private Transfer Fee Covenants, (No. 201O-N-11)” in the subject line of the message.
2. U.S. Mail: Comment letters can be sent by mail to:
Alfred M. Pollard
Federal Housing Finance Agency
1700 G Street NW. Fourth Floor
Washington, DC 20552
ATTENTION: Public Comments “Guidance on Private Transfer Fee Covenants, (No. 201O-N-11)”
3. Using the Web: Use the Federal eRulemaking Portal at http://www.regulations.gov. Please follow the instructions for submitting comments.
PLEASE NOTE: ALL LETTERS MUST BE RECEIVED BY THE FHFA BY OCTOBER 15, 2010.
Please send a copy of your letter to the attention of Jerry Nagy ([email protected]) at NAR.
Jerry is coordinating our regulatory response and it is helpful for him to know how many letters have been sent.