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Mortgage Industry Trends

Lender Sentiment Not So Good

As my dear departed Grandfather would say when things got tough, “Things, they not looka so good!” He didn’t speak English very well, but he sure had a firm grasp of the obvious. Seems lenders are taking a page out of his book. The most recent Fannie Mae Lender Sentiment Survey revealed that mortgage lenders are reporting a negative profit…

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Mortgage Industry Trends

How to Bypass the Competition

Companies are always exploring new ways to leapfrog over their competition. But, now one of them is building a bridge, or maybe an arch, to by-pass their competition altogether. Arch MRT, a newly formed sub of Bermuda based Arch Capital Group, is working with Freddie Mac to provide mortgage insurance directly to borrowers bypassing traditional private mortgage providers. Under the…

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Uncategorized

It’s March Madness…Again!

This is my favorite time of year, other than Christmas. Not much can compete with Christmas in my book. March Madness comes close. The time of year when dreams are made, and in some cases, come true. David versus Goliath type stuff. The big guys take on the upstarts, all to be the National College Basketball Champion. I love it!…

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Mortgage Compliance

What’s Your Take on Higher DTI Loans?

Last July, Fannie Mae began accepting loans with debt to income (DTI) ratios up to 50%. This is much higher than that allowable under the Truth Lending Act (TILA) for a Qualified Mortgage (QM). However, TILA offers an exception to the QM rules for loans that get approved by Fannie’s Automated Underwriting System (AUS). For now, as long as the…

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