NEW UNDERWRITING UPDATES

• All borrowers’ birth certificates will be required with pictures taken in the hospital with medical staff. Birth certificate with a live home delivery will not be eligible for first time home buyers.
• Marriage certificate with bridal dress will be required if both husband and wife are required to qualify for the loan.
• GFE will not require signature, but will require blood sampling from a recognized institution within three days of application.
• DNA test will be performed at closing to avoid any non-arms length transactions. Loan funding will be contingent upon satisfactory receipt of DNA results.
• Verification of deposit will be acceptable only if Bank representative is present at the closing.
• Copy of Pay stubs and W2 will only be acceptable through IRS and only with a wax-sealed envelope mailed directly to the lender.
• Seven witnesses from the neighborhood will be required as proof of primary residence in case borrower owns more than 1 property.
• All appraisers will be required to use masks and ear plugs at the time of inspection to avoid any personal influence by the borrower or broker for the appraised value.
• In order to correctly calculate DTI and true housing ratio a list of grocery items, monthly usage and brand names will be required with receipts and projected 12 month consumption chart.
• Closing will not occur without loan officer presence at settlement and loan officer picture will be taken at the closing in a mug shot format with loan number. Picture should meet standard guideline of 2 X 2 inch in color format with one facing and one side view.
• Loan officer picture will be attached to the Deed and note and will be made available for general public and security agencies in case borrower defaults on the loan.

Technorati Tags: Mortgage Guidelines

You know, 20 years ago, we didn't need Straight Talk in the mortgage world.   Everyone did the right thing and everything moved along......

Now we do.   Would you like to work with a lender who will tell it to you straight?    Would you like to have someone looking out for what's best for you?

Would you like to work with a lender who has to blog under a pen name - because their bank doesn't like what they are saying?

If so, call us at 330-536-3623 or send an e-mail to info@straighttalkaboutmortgages.com and we'll have one of our team of lenders get back to you, typically within 4 hours during normal week days.

Kenny H.

Random Posts

• March 7, 2009 -- Jobs
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• May 13, 2009 -- And the beat goes on….

There is no direct link between mortgage rates and what the Fed controls.

Technorati Tags: Mortgage Rates, Fed Funds Rate, FOMC

You know, 20 years ago, we didn't need Straight Talk in the mortgage world.   Everyone did the right thing and everything moved along......

Now we do.   Would you like to work with a lender who will tell it to you straight?    Would you like to have someone looking out for what's best for you?

Would you like to work with a lender who has to blog under a pen name - because their bank doesn't like what they are saying?

If so, call us at 330-536-3623 or send an e-mail to info@straighttalkaboutmortgages.com and we'll have one of our team of lenders get back to you, typically within 4 hours during normal week days.

Kenny H.

Related Posts

• February 17, 2010 -- Predictions on Mortgage Rates – Will the World Come to an End on March 31?
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• December 14, 2009 -- The Week Ahead
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Investors should be holding healthy levels of cash in order to take advantage of "known unknowns" that become clearer as the economy evolves, Pimco’s Mohamed El-Erian told CNBC.

Keep a lot of cash because you don’t know what’s going to happen and you need to be ready for anything.

"The mindset is critical," he said, for investors who need to understand that the environment has changed in terms of government policy adjustments and cyclical events that influence markets.

The environment has changed means  “It is different this time.”   The way the government is dealing with things is different and correspondingly, the way the markets react is different.

Those cyclical moves are important to note for how they perform within the larger structural environment of financial markets, said El-Erian, co-CEO of the world’s largest bond fund.

"There are cyclical tailwinds for now that are going to overcome the structural headwinds," he said.

I have no clue as to what he means by cyclical tailwinds vs. structural headwinds……  

"You construct a portfolio and more importantly you retain optionality," which said should entail "cash for very high-quality holdings that allow you to reposition as the future gets clearer."

Retain optionality – that means keep the doors open for whatever might happen because we don’t really know what’s going to happen.

The ability to react to events could be critical for investors who are used to things happening in a more predictable fashion.

Get used to an unpredictable market – things aren’t going the way they used to and aren’t subject to the same market forces as they used to be.

"This is a wonderful time to be an active manager,

because we can earn lots of money charging lots of fees?

with all these things moving," El-Erian said. "We are in the midst of a paradigm shift where things happen but they don’t happen in the linear fashion that everyone wants them to happen."

Hang on to your hats, it’s going to be a wild ride.

In contrast, he said the Federal Reserve is likely to stay in a holding pattern when it meets this week to put together its own strategy to manage monetary policy.

"They’re not going to do anything dramatic because they want to see how the tug of war between the cyclical tailwinds and structural headwinds plays out," he said.

El-Erian said he expects to see "a multi-speed world" where "part of the world is going to grow and grow robustly. There’s going to be another part, the US and UK, that is going to have difficulty once all the stimulus and inventory cycle goes through."

Can you say, “I’ll take a double dip of uncertain recession with a topping of volatility?”

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This is another of those type of reports.   If you listen to a lot of the news reports, it would appear that the mortgage delinquencies are going down.   They really aren’t, at least not according to this report.    They are just not getting worse as quickly.

Isn’t that sort of like, “Gee, the water in my basement is only rising by 6 inches an hour rather than a foot an hour.   That’s nice……”

Huh?

The state of the housing market has long reached a point where it’s good news to hear, “It’s not getting worse.” Unfortunately, according to a firm that tracks borrowers behind on their mortgages, you can conclude at best, “It’s getting worse, but less quickly.”…..

……LPS says, “The pace of deterioration has slowed.” Thats the supposed good news. But I have a hard time thinking optimistically about this, not just because in January alone 346,000 borrowers fell behind on their payments for the first time. The other disturbing statistic is that older loans make up a higher percentage of new delinquencies — that means people who already had fallen behind and pulled themselves out of it maybe through a loan modification program are delinquent again. This confirms what many have said about the federal programs to reshape mortgages into loans people can actually pay: Theyre not doing the job for enough people.

via Mortgage delinquencies at historic highs – Personal Finance blog – Money Magazines More Money.

You know, 20 years ago, we didn't need Straight Talk in the mortgage world.   Everyone did the right thing and everything moved along......

Now we do.   Would you like to work with a lender who will tell it to you straight?    Would you like to have someone looking out for what's best for you?

Would you like to work with a lender who has to blog under a pen name - because their bank doesn't like what they are saying?

If so, call us at 330-536-3623 or send an e-mail to info@straighttalkaboutmortgages.com and we'll have one of our team of lenders get back to you, typically within 4 hours during normal week days.

Kenny H.

Related Posts

• November 20, 2009 -- 14.4% – don’t expect it to get easier to get a mortgage any time soon…..
• October 31, 2009 -- Why Fannie and Freddie Aren’t Going to Make It Easier to Get a Mortgage Any Time Soon……
• October 29, 2009 -- Mortgage Delinquencies – continuing to climb….
• September 24, 2009 -- Existing Home Sales and Contradictory Statements by the National Association of Realtors
• August 21, 2009 -- Mortgage Delinquencies

Mortgage rates are quiet today on a mixed bag of news.    A couple of manufacturing reports came in in what you’d call the “Goldilocks range”  (not too hot, not too cold).    The dollar is rallying a bit and oil prices are down.     The market is somewhat treading water before the Fed’s meeting later this week.

I’ll have more as the day and the week progress, for now it’s steady as she goes……

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Old Southern Bank, Orlando, Florida, was closed today by the Florida Office of Financial Regulation, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. …

As of December 31, 2009, Old Southern Bank had approximately $315.6 million in total assets and $319.7 million in total deposits. …

The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $94.6 million. … Old Southern Bank is the 29th FDIC-insured institution to fail in the nation this year, and the fourth in Florida. The last FDIC-insured institution closed in the state was Marco Community Bank, Marco Island, February 19, 2010.

From the FDIC: Home Bank, Lafayette, Louisiana, Assumes All of the Deposits of Statewide Bank, Covington, Louisiana

Statewide Bank, Covington, Louisiana, was closed today by the Louisiana Office of Financial Institutions, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. …

As of December 31, 2009, Statewide Bank had approximately $243.2 million in total assets and $208.8 million in total deposits. …

The FDIC estimates that the cost to the Deposit Insurance Fund (DIF) will be $38.1 million. … Statewide Bank is the 30th FDIC-insured institution to fail in the nation this year, and the first in Louisiana. The last FDIC-insured institution closed in the state was The Farmers Bank & Trust of Cheneyville, Cheneyville, December 17, 2002.

Louisiana makes an appearance …

via Calculated Risk: Bank Failure #29 & #30: Florida and Louisiana.

You know, 20 years ago, we didn't need Straight Talk in the mortgage world.   Everyone did the right thing and everything moved along......

Now we do.   Would you like to work with a lender who will tell it to you straight?    Would you like to have someone looking out for what's best for you?

Would you like to work with a lender who has to blog under a pen name - because their bank doesn't like what they are saying?

If so, call us at 330-536-3623 or send an e-mail to info@straighttalkaboutmortgages.com and we'll have one of our team of lenders get back to you, typically within 4 hours during normal week days.

Kenny H.

Related Posts

• March 12, 2010 -- Bank Failure #28: Park Avenue Bank, New York, New York
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• March 11, 2010 -- Foreclosures Down 2% in February: Don’t Pay Attention to the Headlines….
• December 18, 2009 -- 7 This Week…..
• December 18, 2009 -- No One Wants This One? FDIC Friday Failures