LaPorte Group Blog

I haven't done a BNI Minute in a while, so here goes.

There have been a lot of changes in the mortgage industry recently and the latest is some guidance from Fannie Mae. They have decided certain areas are considered in "declining markets." Some lenders have a taken very strict stance on declining markets and others are more lenient. I have one lender that has the entire Twin Cities metro area in a declining market that requires the appraisal to add comparable properties that have sold within 3 months and to also add pending sales to prove that is what the current market is. I have another lender that has no part of Minnesota in a declining market. This is one benefit of using a mortgage broker instead of a bank. I have over 20 prime lenders with different underwriting guidelines, where at the local bank you have to abide by their guidelines and if your loan doesn't fit it will be declined.

With that in mind, a good referral for me this week is someone that is thinking of buying a home. With the ever changing market, it is a good idea to see exactly what can be done with each specific situation. The sooner the process is started, the better.