No. of Recommendations: 2
They react by raising downpayment and credit score requirements--essentially to cut lending to a minimum while rates are low.

Actually, lenders have been gradually relaxing their sphincters over the past 3-6 months... Minimum credit scores for the best programs have been dropping from 720 to 700, and now 680. HELOCs have been extended out from 70% CLTV back to 90% (and even 100% in high income cases.) Reserves requirements have been declining somewhat.

I'm not sure it will ever reach the ludicrous 'fog>mirror' status of 7-8 years ago (in fact, I doubt it will in our lifetimes,) but its certainly getting easier than it had been as recently as 2-5 years ago.

Dave Donhoff
Leverage Planner

P.S. Cath... chill... Paul didn't spit at you ;~)
Print the post  


Useful Resources
Our Home Center has all you need to make buying and owning a home a great experience. Get or refinance a mortgage and much more!
Buying/Selling a Home FAQ

Mortgage Professor
Offsite resource for mortgage questions.
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.