Here are some of the new guidelines:
1. Maximum Total Debt to Income for most loans will be 43% of Gross Monthly Income.
2. Maximum term will be 30 years, no 40 year loans.
3. Loans need to be fully amortizing, no interest only loans, or negative amortizing loans.
4. No Pre-payment Penalty Loans.
5. Total points and fees not to exceed 3.00% of loan amount.
6. Seven to ten year ARMS qualify at the greater of note rate or fully indexed rate.
7. Relief Refinance Mortgages: Need a minimum Credit Score of 620, Maximum Total Debt to income ratio of 45% and Income will need to be verified.
This posting is not meant to give an all inclusive look at the new changes. Just to give a heads up as to some of the changes happening in the new year.
Posted October 24, 2013
If any questions, I can be contacted at:
DEPENDABLE MORTGAGE CO.
Rhonda Sherman, Owner
License # 100008357 NMLS # 381084
145 Grand Avenue, Suite B
Grand Junction, CO. 81501
Office: (970) 257-1502 Cell: (970) 250-8613
Website: Dependable Mortgage Co. (Apply Online 24/7)
Regulated by the Division of Real Estate
An Equal Housing Lender