Home In Tracy.com

For many years the mortgage loans had very lenient rules...buying with stated income, zero down and high debt to income guidelines. We paid the price when mortgage backed securities plummeted in value and the single family home values fell to sometimes 50% of their peak value. Consumers who were put into risky loans soon discovered they were not able to afford their home and were forced to default because they were underwater and could not refinance.

Dodd-Frank includes the attached guidelines for new "Qualified Mortgages".....where the lender must consider the buyer's ability to repay. Smart stuff...please read....

http://www.consumerfinance.gov/regulations/ability-to-repay-and-qualified-mortgage-standards-under-the-truth-in-lending-act-regulation-z/

Ability to Repay and Qualified Mortgage Standards Under the Truth in Lending Act (Regulation Z)... Ability to Repay and Qualified Mortgage Standards Under the Truth in Lending Act (Regulation Z)Email updates At a GlanceStatus:Final RuleIssued Date:January 10, 2013Published Date:January 30, 2013Effective Date:January 10, 2014Docket no.CFPB-2011-0008CFPB-2012-0022CFR Part12 CFR 1026Subjects:adverti...

HUD Defines Two Types of Qualified Mortgages HUD has issued a newly revised definition for Qualified Mortgage (QM) which will affect all Federal Housing Administration (FHA) loans moving forward. The new rule goes into effect January 10, 2014, and will apply to mortgages that are insured, guaranteed

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