Ever Have One Of Those Days?
November 5th 2009 08:55 pm
I am having one of those days today. I have a few loans that are trying to get closed for November. I am confident that the $8,000 tax credit will be extended in some form and the President will sign it but most first time buyers made plans to close by the end of this month and so there are several files that are in our system to do exactly that. So where is the Bad Day part coming in? Well, underwriting is getting tougher and tougher. New income guidelines are bringing down the allowable income that we can use. The minimum Credit scores are going up. One of our investors now requires a 640 minimum score for both FHA and Conventional loans, Asset verification guidelines are adding more and more rules to what the buyers need to provide to prove they have the money. We still don’t know how FHA and Fannie Freddie condo approvals will work and who knows how HUD homes are being valuated?
We are being told to look at a loan file to see if it makes sense. Well the problem is that what made sense a year ago isn’t making sense now.
Ok so enough venting. Why am I sharing this with you? I just want you to know that your lender is not there to make sure the loan gets done no matter what. Those days are long gone. Be patient with us. We are working hard to try to get your deals done but sometimes a problem comes up on a new guideline and that deal of your’s might be denied. Plenty of loans are being approved and closed but a few more then you are probably used to are being denied. Try to make sure that you are working with a Lender with some experience and is staying on top of the changes as much as they can. There are more deals out there now then there have been for awhile but more of them may not qualify.
There, I feel better already.
Let me know if you have any questions, Mark Afman
Also please visit a new blog site at www.insiderealestatenews.com This is a site that is edited by John Rebchook formerly of the Rocky Mountain News and has contributions from such notable as Oliver Frascona. This site is sponsored by Universal Lending Corp.
If I buy a HUD home, where does the money go? | HUD Housing responded on 06 Nov 2009 at 1:12 pm #
[...] MarkAfman.com » Ever Have One Of Those Days? [...]
Ever Have One Of Those Days? | US Mortgage responded on 06 Nov 2009 at 10:48 pm #
[...] Originally posted here: Ever Have One Of Those Days? [...]