November 25, 2016
‘Getting a Mortgage Just Got Easier’
By James D. York, P.A.
Fannie Mae and Freddie Mac recently announced plans to speed up and smooth out the mortgage process. This comes as good news to many potential homeowners, since Fannie and Freddie together back over half of U.S. mortgages. And whenever these two huge GSE’s [government-sponsored enterprises] change their loan requirements, most other market lenders respond by doing the same.
According to David Lowman, executive VP of Freddie Mac’s Single-Family Business, "As the cost of originating a mortgage has more than doubled since before the financial crisis, we're collaborating with lenders to create innovative tools that reduce the costs of producing and selling high-quality loans to us.”
Freddie Mac’s “Loan Advisor Suite” will have new automated capabilities starting in the spring of 2017, including a free appraisal, income and asset verification, and an assessment tool for borrowers who don’t have credit scores. Freddie will also protect lenders from the risk of loan repurchases because of faulty appraisals.
Fannie Mae’s new program, called “Day 1 Certainty,” will offer lenders verification for income, assets, and employment through Desktop Underwriter. Fannie will also simplify property inspection requirements for refinances, and save borrowers significant time and hassle by collecting electronic data rather than documents (pay stubs, bank statements, etc.) as well as rendering faster decisions.
If you have any questions about how these changes might help you, just give us a call.
Connect With York Real Estate Group
York Real Estate Group consists of James, Michael, and Morgan York, Florida Realtors with Downing-Frye Realty. James York is the winner of the prestigious 2014 and 2015 SWFL People’s Choice Realtor Award. The group has over 25 years combined experience and over $275 million in sales transactions. Visit The York’s Group website at www.naplesyorkrealestate.com for all current MLS listings of houses for sale in Naples, Marco, Bonita, and Estero. If you have other questions, the York’s invite you to email or call them at JYorkinFL@cs.com or 239-273-6727.