What portion of all home loans issued during 2011 were insured by the federal government in the event of default?
Per the U.S. Congressional Budget Office, "84 percent of new mortgages in 2011 carried a federal guarantee." The Federal Housing Administration (FHA) insured 21% of the total, and Fannie Mae and Freddie Mac insured 63%. To limit the risk to taxpayers, the government requires borrowers with low down payments to pay an annual mortgage insurance fee. In January 2015, President Obama reduced the fee for FHA-backed loans from 1.35% of the loan amount to 0.85%.