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Different interest rates for condos /townhouse tand single family home?

We are in the process of purchasing a townhouse and the lender informed us that the interest rate will be higher that buying a sigle family home. In the state of California, are there any NEW laws/policies regarding this?
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February 27 2009 - US
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Answers (2)

The interest rate should be the same for townhouses and single family homes. You will either have to pay 3/4 of a point or pay a higher interest rate for a condo if you put anywhere between 5% and 24.99% down.

FNMA is charging what is know as a "loan level price adjustment." The LLPA is based on your credit score, the loan-to-value, the type of transaction, and/or the use of the property, and is cumulative. For more information about the LLPA fees, visit FNMA's web site at http://www.efanniemae.com/sf/guides/ssg/annltrs/pdf/2008/0838.pdf.

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February 28 2009
It doesn't have anything to do with the government.  Attached units (condos and townhomes) have additional liability issues, and lenders must charge higher interest rates to compensate.
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February 27 2009
 
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