In recent weeks, the media has been filled with stories regarding the challenges of various national mortgage lenders.  During the past few years, some mainland lenders originated risky mortgages with floating interest rates and weak underwriting standards. A number of the sub-prime lenders who made these riskier loans have gone out of business and the delinquency rate for sub-prime loans have gone up and forced homeowners into foreclosure.

This news may have created a sense of fear with those who are looking to buy a home.  But we you can reassure you that while abusive lending may have been taking place in the sub-prime loan marketplace on the mainland, our local lenders have been more realistic in their lending practice and have followed prudent underwriting guidelines.

It is now, more important, than ever, that we demonstrate the value of working with us, as the right REALTORS® and with those in the local lending marketplace. 

Now more than ever, many of our clients may need our help in assisting them in selecting a lender.  We will stick with those local lenders who we are familiar with and who have a long history in our local market.  We must advise you that underwriting guidelines may have tightened and some of the exotic loans, or loans issued to lower credit score applicants may be vanishing.  The environment may be changing in mainland markets, but for the most part, our local lenders are not forecasting doom and gloom for us here.

The real estate market will continue to shift and change, but our professionalism and high ethical standards, as REALTORS® will not.  We will continue to advise our clients well, so that our value as trusted advisors will increase.