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Podcast: BiggerPockets Daily
Episode: Fannie Mae Expands Allowance for Attorney-Opinion Letters Instead of Title Insurance. What Is the Backlash All About? By Lindsay Frankel
Description: As part of its goal to increase affordable mortgage access for homebuyers in the United States, Fannie Mae announced in December that it would accept attorney-opinion letters (AOLs) in place of title insurance with more mortgages. While AOLs have been allowed by the government-sponsored enterprise on select mortgages since 2022, the decision expands eligible mortgages to include condo units and properties with homeowners association (HOA) restrictions, potentially assisting more first-time homebuyers with the high costs of homeownership by trimming about $1,000 off their mortgage closing costs. The Community Home Lenders of America expressed support for the alternative as a way to tac...