The Federal Housing Finance Agency's New Rules Will Force Good Credit Home Buyers to Pay More for Their Mortgages to Subsidize Loans to Higher Risk Borrowers

Experts believe borrowers with a credit score of about 680 would pay around $40 more per month on a $400,000 mortgage under rules from the federal housing finance agency that go into effect May 1. Cost will help subsidize people with lower credit ratings also looking for a mortgage according to a Washington Times report on Tuesday. The crisis that nearly brought down the Western economy in 2008 was the end result of 20 years of aggressive efforts to push and subsidize homeownership in the United States by extending the ability to borrow money to people pushing the rate of American households that had mortgages or owned them from 59% to 64%.