The Federeal Housing Finance Agency announced they plan to increase guaranteed fees (g-fees) between November 1st and December 1st 2012.

G-fees are the fees that Fannie Mae and Freddie Mac charge mortgage lenders to guarantee loans that are sold to them.

Zillow.combelieves the increase in g-fees could translate into a 40 to 50 basis point increase in mortgage rates. Themortgagereports.combelieves the increase in mortgage rates to be closer to 25 basis points and you can expect to see an increase in rates as soon as next week.

The increase in g-fees is designed to reduce the governments involvement in mortgage lending by making private lenders more competitive in the market. Currently Fannie Mae and Freddie Mac guarantee an estimated 60 percent of all residential mortgages.

The FHFA also burried deep in the report that they are developing a risk based pricing model at a state level. If your state is a judicial state in which the costs of a foreclosure are higher than nonjudicial states you may see an even steeper increase in mortgage rates once the changes are made.

If you have though about refinancing or purchasing a home recently, now may be a good chance to get pre-qualified and save a few hundred if not a few thousands dollars.