In September 2015, the CFPB issued new rules relating to whether or not a high cost loan could have a balloon payment at 5 years. A high cost loan is a definition that applies only to 'owner occupied dwellings'. The link listed below references the article from the CFPB that explains that small creditors CAN have balloon payments in their loans.
Well, we just got back from the National Association of Mortgage Brokers convention, and found out that the hottest new thing is the same thing we've been doing for years now. Non-conventional lending. They call it AltQM and NonQM, meaning that the loan programs do not meet the guidelines published by the Consumer Financial Protection Bureau's "Qualified Mortgage" law. Of course, all loans still have to meet the ATR rule, "Ability to Repay". What these new programs mean is that more people will be able to purchase a home. No more punishment for walking out on mortgages. These loans will let you purchase with only a few days to a few months out of BK, Foreclosure, or Short Sale.
We are committed to bringing only the best of these programs into our company. If you want more information, call me at 702-214-4700.
I love this link. Click here to find out what is going on at BofA.
Mortgage applications were down for the second week in a row as rates continue to rise,Read More
Are you wondering what the latest regulations of Dodd-Frank will do to your business? Us too! After months of study, we are going to share what we know about the rules and regulations published by the Consumer Financial Protection Bureau. Please join us on February 26, 2014 at 4:00 p.m. at 546 N. Eastern, #110, Las Vegas, NV 89120
Capella Mortgage declares a State of Emergency. 340 people have their hopes of home ownership crushed by the latest regulations of Dodd-Frank. Under the new rules, lenders refuse to lend money. Not because the loans are unsafe, but because the government has said that it is okay to sue the lender and the lender will have to prove that the borrower had enough money to pay the mortgage payment, even if the borrower lost his job the next day.
If you are frustrated beyond belief with the lending process, maybe it's time you got a hard money loan from Capella Mortgage.