- This topic has 1 reply, 2 voices, and was last updated 12 years ago by .
-
Topic
-
I’m sure you receive many questions daily regarding the regulation changes. After meeting with our Chief Lending Officer today he proposed several questions, especially under the Ability-to-Repay and Qualified Mortgage Rules:
While our Secondary Mortgage Department would meet the Qualified Mortgage Rule, our issue is what happens to our balloon mortgages we have on our books when they come up for refinance? So…these are the questions:
1. What happens to the balloon mortgages that we have on the books when they come up for renewal?
2. What about the consumer that can’t meet the qualifications (43% DTI)
3. ARM loans – while we are not offering ARMS at the present time, what about 5 or 7 year ARMS? What about the draw back to ARM loans?Is there still consideration on changing the regulation for Rural Balloon-Payment Qualified Mortgages? We are considered rural in all categories except that our branches are located in a MSA for HMDA purposes.
- You must be logged in to reply to this topic.