On the Other Hand: Chase Pushing FHA Loans
While the airwaves are abuzz with talk of how no one other than the most credit-worthy being able to get a mortgage now, we were surprised to have this pitch from Chase land in our Inbox a few minutes ago. Good to know the days of 3% down are still alive and well!
While the airwaves are abuzz with talk of how no one other than the most credit-worthy being able to get a mortgage now, we were surprised to have this pitch from Chase land in our Inbox a few minutes ago. Good to know the days of 3% down are still alive and well!
34 years ago, when I bought my house, FHA [and VA] mortgages were the only kinds most banks would consider. The trouble back then was that Brooklyn brownstones [and old houses, in general] did not meet the standards required for these loans. Has that changed?
> Social distribution of the credit system got us into this mess.
Right. I’m sure it had nothing to do with the securitization of “assets,” massive overleveraging and a lack of regulatory oversight.
“Everyone is doing the bait and swith: they all say yes and decline us at the end of the process.”
More like gold panning: Dish, keep the gold remnants, discard the sand. Who knew that 704 would be sand? I’m a 750 but it looks like I have no choice but to wait this thing out.
Oh yeah, and the appraisal doesn’t get jacked this time and the house had better be in good shape.
Go and apply and you will fnd out what it takes to get the 3% down at the advertised rate. You had better had a great creidt score, the assets to back it up, the income to support it, and fully document all of it. Which of course is a good thing! Social promotions in the education system turned out illiterate high schoool grads. Social distribution of the credit system got us into this mess.
Ozy – of course they wanted to make money on the spread between my interest earned and their interest charged. No thanks on that. I’ll keep earning the interest without paying the interest. I was just surprised that, in this climate, someone was actually looking to do a deal.
Distressed market + non-perfect credit = no home purchases for 10 years.
Who’s hand should I shake for this?
Disressed market + non-perfect credit = no home purchases for 10 years.
Who’s hand should I shake for this?
The home equity was available because you had a lot of cash on hand. You didn’t need the credit.
If you didn’t have the cash on hand and you needed the credit, it would have been a different thing.
Your cash on deposit acts as reserves for multiple loans. Chase would much rather give you a loan and retain the cash deposits rather than have you withdraw it.