It could soon be easier to borrow against your home after U.S. regulators approved a Freddie Mac pilot program for purchasing second mortgages.
The plan, announced Friday, is meant to help homeowners who secured low-interest mortgages and want to access their home’s equity for a loan.
The Federal Housing Finance Agency (FHFA) said it granted “conditional approval” to the program. Under the pilot, Freddie Mac will have $2.5 billion cap on purchases over 18 months, with maximum loan amounts of $78,277.
