The new mortgage financing rules will make homebuyers with riskier credit ratings and lower down payments qualify for better mortgage rates and discounted fees.

This is according to the Federal Housing Finance Agency Director Sandra Thompson, a Biden appointee. The fee changes will “increase pricing support for purchase borrowers limited by income or by wealth.”

Homebuyers with good credit scores will soon encounter a costly surprise: a new federal rule forcing them to pay higher mortgage rates and fees to subsidize people with riskier credit ratings who are also in the market to buy houses.

The new rule enforced by the Biden administration will make it so that people looking to buy a home with a credit score of 680 or higher will have to pay about $40 per month more than people with worse credit when taking out a home loan of $400,000.