Just in case you missed it.Wells Fargo, Countrywide, Washington Mutual , along with CitiFinancial , GMAC and Bank of America are just a few of the home mortgage lenders who may soon be in trouble because of their subprime loans.
While a few government agencies are pushing for more stringent lending guidelines you probably won't see many new requirements until one of these lenders goes bankrupt. You can bet the farm that will happen if more subprime loans go south.
That being said you might want to talk to a few lenders now while money is still flowing freely. Once these guys start to go under two things will happen... interest rates will go up significantly and lenders will want to see more cash from borrowers and much better credit.
If you are a marginal buyer you may begin to see lenders tighten their requirements.
Now would be a good time to get your credit history in order. It might also be the time to start putting more money away...maybe forget the ski trip to Aspen and put the cash in the bank.
Contact me if you would like the name of a few local lenders...
1 comment:
so what does that mean if you have an existing mortgage with one of these banks?
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