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In 2011, There Were 259 Lending Rule Changes...

By Christopher Murray

Mortgage and Lending

December 15, 2011 12:15 AM

Wow! I will say it again - In 2011, There Were 259 Lending Rule Changes...that is 22 per month or nearly one per every working day. And this figure doesn’t include any additional individual lender overlays!!

And thus the Confusion Continues...
How in the world can anyone be expected to keep up with all those changes (or want to...)?! Unless you are a mortgage broker or banker, well - you probably wouldn't.

Just like a CPA has to keep up with the ever changing tax codes, a loan officer should be on top of the mortgage rule changes. In order to provide the best service and match the right loans to the right clients, The Murray Group is aware of every single rule change that was brought into effect in 2011.

259 changes is mind boggling. Since it is the Christmas season, we are going to ask Santa for a favor for us and our clients:

"Santa - please don't make so many changes next year!"

How's that for simplicity? Until next time...

PS. What is an overlay? An overlay is an additional rule that a lender applies to an already existing list of guidelines associated with a specific loan program.

For example, Fannie Mae guidelines say it’s o.k. that applicants can payoff credit card debt to help them qualify for a home loan while at the same time being in the process of obtaining a NC home loan. However, individual lenders may add an overlay that says no it’s not o.k. to do this.

Overlays vary from lender to lender which can cause confusion. Ask The Murray Group your mortgage questions - we clear up confusion fast.

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Jamie R. Bell

Bell Realty Group at Berkshire Hathaway HomeServices NEP - Glastonbury, CT

Your Central CT Realtor

Nicely put! No, I have no desire to know them all, just wish there was a happy medium that helped to mend the system w/o out making the buyers jump through so many hoops and frustrating them. I hope Santa fulfills your wish!

Here's to a great 2012!

Dec 15, 2011 12:20 AM

Merv Edinger & Associates

Remax Nova - Halifax, NS

As a real estate agent it is not my job to know them all. As long as my clients are pre-approved, financial comfortable with their budget for their new home, & they are getting the right lending conditions for them, I am happy. I have a good network of lenders who I know will take care of my clients should they need help finding a mortgage that suits them.

Dec 15, 2011 12:27 AM

In 2011, There Were 259 Lending Rule Changes...

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Christopher Murray

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