Article: The Philadelphia Inquirer home real estate column.

By Alan J. Heavens, The Philadelphia Inquirer Knight Ridder/Tribune Business News

Nov. 15--Here is an idea that has gone around and come back again: the 40-year mortgage.

Fannie Mae, the nation's largest source of home financing, is test-marketing a 40-year mortgage, using 21 federally insured credit unions around the country (none in Pennsylvania or New Jersey) as its guinea pigs.

By limiting the test market to credit unions, Fannie Mae targets an audience of low- and moderate-income buyers. Spokeswoman Sandy Cutts said Fannie Mae looked at programs in light of its "American Dream" strategy, designed to create homeownership opportunities ...

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