This is a YouTube video titled "🚨 Why are Second Homes/Investment Properties Higher Rates? 🚨" containing a discussion about the higher risk and stricter lending guidelines associated with second homes and investment properties, including recent changes by Fannie Mae limiting these mortgages. The content appears to be a monologue or single-speaker explanation recorded on September 26, 2021.
Homes and investment properties have always had a little bit higher risk level. Just by definition, the owner or landlord of those properties, if they have financial issues, those are the first ones to go. They're going to keep their primary residence with their fancy there. So that's why there's a little higher interest rates, a little bit higher down payments to get into those. Then earlier this year, Fannie Mae tightened the screws. All second homes and investments can't exceed 7% of all mortgages done across the country. So there's a limited number of seats. So they're sticking by those strict guidelines with less flexibility. SA.
