My New Outside Blog: www.lasvegasmtg.com Report: Fannie Mae is taking the gloves off against Strategic Defaulters!

www.lasvegasmtg.com Report: Fannie Mae is taking the gloves off against Strategic Defaulters!

www.lasvegasmtg.com Report: Fannie Mae is taking the gloves off against Strategic Defaulters!

http://www.lasvegasmtg.com: Fannie Mae is taking the gloves off against Strategic Defaulters as they announced they are seeking to prevent any agency including FHA from financing a home loan for 7 years for any borrowers that were able to make the payments but decide not to.

USA Today reported this new initiative yesterday from Fannie Mae and the company is seeking legislative approval to bar those that have been prove to have strategically defaulted from getting any home loan for seven years. Currently there is a bill in the House of Representatives to make it a law banning strategic defaulters from getting any home loan for seven years. This would require the Senate to pass the bill and then be signed into law by the President.

If this passes then FHA would be banned from lending to strategic defaulters for the same time period. Currently any short sale or foreclosure is 3 years before a borrower can get a FHA loan. The question is how would Fannie Mae determine if a borrower has strategically defaulted. Fannie Mae will determine if the borrower still has other debt and is making payment on those debts. The question I would ask if there was a delinquency in mortgage payments would there still be credit to the borrowers? If there is no credit available then what would prevent the borrower to file Bankruptcy to eliminate the debt and the foreclosure debt as well?

Can this really be fixed with a law to stop Strategic Defaults? Please let me know what you think.

         Kenny Salame                                                                                                  Equal Housing

Kenny Salame
Senior Loan Officer
All Western Mortgage Inc.
8345 W. Sunset Rd.
Suite 380
Las Vegas, NV, 89113
US                            
Mobile: 702--506-3301
Direct: 702-947-0609
Office: 702-369-0905
Fax: 702-952-0887
ksalame@allwesterm.com
 
 
 
 
 
 
Comment balloon 3 commentsKenny Salame • July 21 2010 05:13PM

Comments

I suspect that the law can pass as a concept then the administrators will have to figure out how to make it work.  And, yes, I expect mistakes will be made and reasonably good people will get locked out of the market for longer than they might want.  There is no perfect dividing line, just like the fact that good people cannot get a stated income / stated assets loan because others abused it.

Robert Boyer
WJB Home Loan
Investment Property Search
San Diego Real Estate Homes for Sale

Posted by Robert T. Boyer, San Diego Real Estate & Mortgage Loans, Ph.D. | VA Home Loan (FHA Loan, VA Loan, Jumbo Loan,FHA Loans,VA Loans,Jumbo Loans) about 10 years ago

Robert,

Morality and Ethics can't be dictated with laws. Laws are like Locks. Locks are only to keep honest people out!

Posted by Kenny Salame, NMLS ID 313873 (All Western Mortgage Broker # 14210) about 10 years ago
So happy for both of you! That is so encxtiig. I'm excited to see all the encxtiig renovations that you do. It's nice that you bought it now so you have some time to fix it up before moving in.
Posted by Mark over 8 years ago

Participate