Ginnie Mae doubles net worth requirement for multifamily program

The Housing Wire reports:

Ginnie Mae doubled the net worth requirement for its multifamily program, changed how that figure is calculated and adopted new capital requirements for issuers.

The government agency guarantees timely payment of principal and interest on federally insured loans to investors of mortgage-backed securities. On Monday, Ginnie raised the base net worth requirement to $1 million from $500,000 and said that value will be 1% of the remaining principal balance on loan draws of between $25 million and $175 million. Another 0.2% is tacked on for loan draws larger than $175 million.