Remember when we could close loans without a paystub, bank statement or even a completed appraisal report? Mortgage companies were filled with twenty-something go-getters, resembling something off the stock exchange floor; anyone that could dial a phone could be hired to originate loans. Thankfully, those days came to a blissful end years ago. It seems […]
Home builders have had a tough go the last 5 years. Part of the issue now is finding the labor source to do the construction. Many small home builders tell us that their laborers are all in North Dakota working on the oil pipeline. The other difficulty is in available land for development. You would […]
We are nearly a month into the Consumer Finance Protection Bureau’s (CFPB) rules for Qualified Mortgage (QM). I found a helpful guide to the new rules here: CFPB Whitepaper on ATR and QM. So far, the primary issues we are working through deal with upfront private mortgage insurance. This is required for conventional loans greater […]
For business owners, many benefits exist to owning a home near your principal business location. In addition to all the standard benefits of home ownership, business owners can help offset commercial and industrial tax levies by strengthening the residential tax base of a municipality. When a home is sold it generally carries positive economic value […]
During the weekend of November 16, 2013, Fannie Mae will implement Desktop Underwriter® (DU®) Version 9.1, which will include the key changes described below: The maximum debt to income ratio (DTI) for most programs will be 45%. The maximum loan to value will be reduced to 95% (or 5% down required for conventional financing going […]
Upcoming Changes to the Qualified Mortgage Rule The primary impact home buyers and home owners will see from the Qualified Mortgage (QM) rule is the ability to repay provision. Here in Minnesota, we have been ahead of the national curve due to changes made to state law in 2007 and 2008. Mortgage originators have been […]
As a mostly-inclusive, online real estate search engine, Zillow offers users more information than most real estate web searches. Not only does it incorporate the active listings on the MLS, but also simultaneously shows pre-inventory data. This pre-inventory is information on mortgages that are in default, or have been to foreclosure auction, and may be […]
This message was released by the U.S. Department of Housing and Urban Development covering the newest update to FHA loans. Mortgagee Letter 2013-26 Date: August 15, 2013 To: All FHA-Approved Mortgagees Subject: Back to Work – Extenuating Circumstances Purpose: The purpose of this Mortgagee Letter (ML) is to: Provide minimum underwriting standards and criteria for […]
FHA now allows financing approval with bankruptcy or foreclosure at least 12 months old. The lender must verify and document that: A minimum of twelve (12) months have elapsed since the date of foreclosure or deed-in-lieu The foreclosure or deed-in-lieu was the result of the Economic Event.
President Obama discusses the future of Fannie Mae and Freddie Mac. Steve Furlong had his question directly answered by the President! See the full webcast here: http://www.whitehouse.gov/photos-and-video/video/2013/08/07/president-obama-answers-your-housing-questions-zillow The question was: “President Obama: If Congress is successful in scaling Fannie Mae and Freddie Mac down, what model fills the gap?” His answer was that less […]
