FHFA reverses controversial fee changes for homebuyers.

The Federal Housing Finance Agency (FHFA) has withdrawn a proposed debt-to-income ratio fee change for home loan borrowers using Fannie Mae or Freddie Mac financing. The fee hike would have affected borrowers whose debt ratio was above 40%. The FHFA said it would provide additional transparency on the process for setting the Enterprises’ single-family guarantee fees and request public input on the issue. The agency is also facing controversy over its decision to update the fee structure on loan-level pricing fees.