#Two4Tuesday – Guideline Day – FNMA Updates galore! Fannie Mae has been busy this month, with several key updates. Some that may just affect your loans in process! So excited for the new 1003 to come out, just as the past the disclosure “roll out” as optional has been post-poned! The actual roll out date will be too, but we just have to wait for the next update that let’s us know when we can roll out the optional use of the new application.
Some good updates this month, and I hear and see other LO’s mentioning that DU seems a little tighter already. This is the second time in the last 90 days that DU has been updated. And this time Fannie is really vague on what was updated, other than specifically identifying “other risk factors”. This comes down to DTI, reserves and LTV, mark my word, some LO is gathering conditions from a loan and in the last 5 days their file has not been re-ran through DU. And when it does on the final time, there will need to be a restructure to make it work. Risk thresholds are being updated and over time after running so many DU run’s we’ll be able to report back to you and let you know what changed. Just remember the basics on DTI for FHA/VA and Conv.
FHA – Three buckets depending on how many compensating factors your file has 31/43 & 37/47 & 40/50
VA – One major backend threshold that is mentioned and that is 41. There is also note of use of residual income as a compensating factor. (this has been the loosest one of them all over the years and more recently have had personally a VA loan with as high as 82 DTI close)
Conventional – While it is widely known that conventional goes to 50 DTI (49.999) in the books (ed) and in programming the thresholds of 28/36 are used. So if your file is over that, you should have compensating factors.
Risk is risk and when it comes down to it, there seems no two files are the same. Just watch your risk thresholds on active loans as DU is updated, and keep rocking.
#ThursdaysThoughts – Fannie Mae Updates! Wow 3 major updates I go over the highlights as they stick out to me. Fannie has been busy in April already! My suggestion – get informed and stay current. There’s ONE thing that is 100% CERTAIN in the #MortgageIndustry and that is #Change!
2nd homes will cost more, disaster zone requirements updated for servicers, and HomeReady product guidelines updated. Some good announcements in these recent updates. #CheckItOut ↓
Ops… I put my number on the video, well been a while since I did that. I do these raw, I might as well publish it as a FB live, I don’t re-record these (well every so often I do) but for the most part my videos are 1st take, and what comes out is what comes out. lol
I’m in the office helping “I gotta guy” questions and scenarios come to life. #LetsDoBusiness – Call me, text me, EMAIL ME, DM me, heck send smoke signals I don’t care, just reach out! I would ♥ to help you get a pay day! 🙂
#ThursdaysThoughts – Fannie Mae updates as of yesterday and the course of organization. Being organized is key in everything. Trust me I know. I’m doing it again now, and building the best B2B AE CRM ever built. (Getting organized) I wish I did this years ago. At the beginning of the year being organized is paramount to your success during the peak season months. Are you organizing your data?
Even Fannie is adding in new fresh stuff, uplifting a face-lift to information and organizing and eliminating old un-useful information. Find out what ↓
For me, it’s always been about systematic approach to my business. Just like an LO whom does certain things at certain times in the loan. Like check numbers after the lock, or verify fee’s on the CD, or update the client two times a week. In the B2B world it’s similar and having touch points at different points in a loan has always been my angle. To help my business partners get to the “end zone”. What ever your method to your own madness is = GET ORGANIZED! Now’s the time to do it.
I’m helping Broker’s and LO’s get organized in various ways to take advantage of social media and many program options to offer solutions to their communities. Why not you too? = CLICK HERE – #LetsDoBusiness and get organized together! 🙂
#MondaysMotivation – Fannie Mae updates and doing BIG things! I ♥ doing big things, like 5 million dollar loan amounts, or 90% LTV with a 680 FICO at 2.5 Million with DTI at 50%! You bet, I love big apps and I can not lie! The #JUMBO arena is a great niche to work for sure, you should too, #GetOnPoint with #BluePointMtg! CLICK HERE!
Fannie Mae slipped in some updates on Oct 2nd you should know, they also clarified and made it easier to determine what is needed for third party processors. Check it out below ↓
Short and sweet today, make today SO AWESOME that yesterday becomes jealous! I do enjoy helping anyone that wants help to grow their pipeline. If you have a JUMBO loan you’re looking for a home for, reach out this week. Let’s structure a loan together!
#MotivationalMonday – New Month – New Goals – New Opportunity awaits!! This week I go over guidelines and tie it into sales for you Loan Officer’s. Today is a start from Fannie Mae just last week. They did an announcement that identifies two companies for their Foreclosure “Third Party Sale Program”! This is inevitably a sales tool that can be used, and effective last week a guideline technically.
FOR THOSE OF YOU SLOW – Right now’s the time to pick up the pace, and get productive busy. Not just busy busy. Are you busy or are you productively busy? Sometimes even at the hottest times, you run into people that just don’t qualify. Are you working to get them qualified with a plan of attack? As another tool today, if your borrowers just don’t fit the normal guidelines, we may have a product for you. #GetOnPoint with #BluePointMtg and our suite of #Niche products that help even those with recent credit events. GET ON POINT HERE!
These websites look viable and can be a tool if you use them. Just like our products, a way to make someone a homeowner with a plan of attack. Get on point this week, let’s do business!
#TwoforTuesday – Cheaters never win! Fannie Mae’s newest update stops them. Funny but this is the truth. Why are we in 2018 and we still are dealing with “Cheaters” in the mortgage industry. There are some great companies out there and it’s appalling to hear these stories where companies are doing things to cheat and use lender credits for a down payment. Are you kidding me, you played some loop hole for years just cause? It’s the same for builders that are giving excessive incentives to a borrower to capture both the Real Estate side and Mortgage side of the equation. Then taking it away or not offering it if another lender is used. I am not so sure about the whole KW thing going down right now. I don’t have an opinion yet, but if they are blatantly “cheating” to incentivize, this is the ethical stuff we need to ban from our industry.
Fannie Mae issues two new changes at the beginning of the month due to those that needed clarity. Seems the first change is well, I understood it this way for years. Maybe I just didn’t look to cheat and use it that way. Crazy some people do this, and Fannie has to update verbiage and completely spell it out. Second change makes sense and is a helpful one to help those doing construction loans to define the transaction type. Check it out below ↓
What I feel like doing this summer is creating a list of builders (or other companies) that “cheat” and publicly posting it for those to see. This can’t go on, if you “cheat” and know it because you’re on the “other side” of some aspect of Real Estate, Title or otherwise and incentivize clients to use your company in a manner that’s abusive. You should be reported. Cheaters never win! Well some say maybe in the short term, but in the long haul there will be a cause and affect that might not be in your favor. Please please please execute good judgement and fair lending practices when in mortgages. It’s what makes it “right” for the client. “Do the Right thing” has always been apart of my mantra and it seems more and more companies are actually looking to play loop holes in our industry to gain a competitive edge. At least for a short lived time. If you know of a company doing something like this, let me know, I’ll show you the way to report them.
STOP CHEATING! – Fannie Mae shouldn’t have to put out guidelines to clarify a guideline that was set many years ago. (A lender credit was never intended to be used for a down payment or for compensating third parties) Nor should companies be incentivizing clients to use their services or steer them to use and not offer the same incentive if a borrower chooses another (Shop-able) option. Watch mark my word, down the road there will be legislation in our industry that if some incentive is offered to use a shop-able service for a mortgage (that is also owned by same mortgage company) there will be a limit or restriction of the incentive. Or something to the affect that another option is used, a percentage of that incentive would need to be applied. Something will happen in this area. Be fair to your clients, your brand and your way of doing business. Nothing good comes out of cutting corners. PERIOD>.