The mortgage industry has changed in the past several months. The secondary market is requiring more documentation than ever. The rates have increased, the laws have increased, and the volume has decreased !
The average credit score has decreased, therefore, the average borrower is paying higher rates. The credit bureaus are not suppose to lower the scores for additional inquiries when shopping for a mortgage loan. Yet over and over again, I have seen my borrowers score drop from when I pulled the credit to when the Lender pulls the credit. This changes the whole scenario from the LTV to the Rate. I have been told that the score is not suppose to be affected as an inquiry when shopping for a mortgage loan, yet I see it happening over and over again.
The credit bureaus are working on a new scoring system currently. Some Lenders are using it already. Has anyone found it to be better than the current system ?