Spring may not yet be here. But, Spring Training has once again begun in baseball. Hope springs eternal. Each year major league baseball teams across the country travel to designated sites to get ready for the new season, with their eyes on winning the World Series. Professional players who have dedicated their lives to one thing, playing baseball, go back…
What’s an ‘Outlier’? An ‘Outlier’ is considered a person or thing differing from all other members of a particular group. GNMA considers nine major mortgage lenders as ‘outliers’ because Ginnie believes that the activity of these lenders differs from others. Ginnie Mae believes these lenders may be churning VA refinances. Churning is a process whereby the lenders continue to refinance…
The FICO credit score was introduced many years ago and touted as the end-all for determining a prospective borrower’s creditworthiness. The better the score, the more likely the borrower would repay the debt. The lower the score, look out, higher potential for default. Simple, right? No more! Today, we’re told that maybe this revolutionary predictor may be outdated and in…
A new battle is brewing between bank and non-bank mortgage lenders over the use of credit score models. The battle over FICO versus VantageScore has begun. Which is the better scoring system to use for qualifying mortgage applicants and which is the best indicator of potential default. For a while now, the Federal Housing Finance Agency (FHFA), the agency that…
With business getting a little harder to come by, and more Millennials entering the housing market, credit scores are on the decline. A recent Ellie Mae Millennial Tracker Report revealed that borrower credit scores across all loan types declined in 2017. The report revealed that borrower credit scores for loans made in 2017 were 723. This is slightly down from…
Do you remember, the line from Top Gun when Maverick turned to Goose and says, “I feel the need, the need for speed!” It seems consumers may be feeling that way about the digital mortgage process. According to a recent J.D. Powers survey, 43% of all mortgage applications were done online. This was up from 28% a year ago; making…
