Lender Letter(LL-2021-10) Fannie Mae Single-Family Sellers Introduction of the RefiNow™ Option

Introduction We are committed to fulfilling our affordable housing mission to serve low-income borrowers by offering home financing options that help them build equity and grow wealth, while continuing to promote a stronger, safer housing finance system. Barriers that hamper low-income borrowers from refinancing result in those borrowers typically refinancing at a slower pace than higher income borrowers and potentially missing the opportunity to take advantage of historically low interest rates that would improve affordability by reducing their monthly housing payment. In coordination with Freddie Mac and under the guidance of FHFA, Fannie Mae is introducing the RefiNow refinance option that offers expanded eligibility to benefit borrowers at or below 80% of the area median income (AMI) limit and helps more borrowers take advantage of the current low interest rate environment.