28 Jun Reforming Lending Reform: 3 Things Home Buyers Should Know About the New Law
2. Looser underwriting rules could make mortgages more plentiful
Loans from lenders with less than $10 billion in assets would be exempt from some of the Dodd-Frank mortgage underwriting standards, as long as they hold onto the loans rather than selling them. While this should encourage lenders to lend, not all of them are willing to hold loans in portfolio. But as mortgage rates rise, banks may become more willing to take on some portfolio loans, opening up more options for borrowers.
Divito Real Estate