Danny Salas
Welcome to Access Real Estate Lending
Welcome, Real Estate Agents & New Readers, to AccessLoans.net Our top two articles, Industry Updatesand Interest Rate Updates, are updated regularly. Industry Updates is primarily a Real Estate Agent’s Informative site, educating Real Estate Agents as to current changes in the Real Estate Lending Industry. Interest Rate Updates are for all readers to follow. It helps understand what makes rates move up and down and what drives that market. Scroll below to enjoy the most recent articles from similar topics.
Chico Real Estate Loan Industry Updates
Chico Real Estate Interest Rates Updates
Freddie Mac’s Automated Engine Gets A Facelift

Freddie Mac Changing LP

Freddie Mac Changing LP
LP Changes
Loan Prospector has updated it’s automated underwriting engine to accept only ratios to 50.33% of a client’s income, when qualifying for a loan. Previous to the current announcement, Freddie Mac would allow a 55% of a client’s income to pay monthly obligations. The announcement, from Freddie Mac, is another example of the changes in the lending industry, and the more stringent guideline requirement that the industry in going through.
What To Subscribe To:


Get Our Twitter Updates
Get Our Blog Blast
Connect With Us On Facebook
Tighter Guideline Announcements From Fannie Mae
Harder To Qualify
Fannie Mae announced that it will tighten lending requirements for its interest-only loans (I.O.)and adjustable rate mortgages (ARM). If a borrower wants an Interest Only mortgage through Fannie Mae, for example, he or she will have to make down payments of 30% of the sale price. For Adjustable Rate Mortgage’s, Fannie Mae will only buy those underwritten to ensure that borrowers could still afford payments even if their interest rates reset to the higher of either; 1) the loan’s initial interest rate plus two percentage points or, 2) the maximum the interest rate the loan can rise to, known in the industry as the cap rate.
Examples:
As an example, for a loan with a beginning rate of 5% and a cap rate of 9% borrowers would have to demonstrate they could still keep up payments even if the rate rose to 9%. For an ARM with a fixed period (for example 5 years) any initial period with 5 years or less qualify at greater of note rate +2% or fully indexed rate, and I.O. loans will have a maximum LTV 70% and a minimum FICO of 720 with 24 months minimum reserves.

Bye-Bye Balloons

Bye-Bye Balloons
Loans With Balloon Payments
Balloon Loans, unless they receive special approval, are going away entirely with Fannie Mae. Fannie Mae is giving the industry some lead time: All loans not meeting the new guidelines must be purchased as whole loans on or before August 31, 2010.
For More Info.
What To Subscribe To:


Get Our Twitter Updates
Get Our Blog Blast
Connect With Us On Facebook


