2007 Good for Exotic Refinancings

Veronica Corningstone · #1 (**permalink**) 12-19-2006, 01:55 PM

"Fixed rate loans are making a comeback for those who are refinancing," said the president of the California Association of Mortgage Brokers in an announcement Tuesday. He made his comments based on a survey of the trade group's members. More than one third of survey participants forecast rising rates next year.

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Greg · #2 (**permalink**) 12-19-2006, 04:02 PM

Exotic huh?

Secret! · #3 (**permalink**) 12-19-2006, 05:03 PM

And this guy thinks those borrowers and their properties with new lower values, will qualify for a full doc 30/30 fixed rate at a re-fi, when they're coming off a STATED Option Arm that was closed at 100% LTV, he's dreaming.

florida man · #4 (**permalink**) 12-19-2006, 10:02 PM

i believe secret is correct regarding LTV . The home values came down TOO fast TOO soon, and a LOT of folks are already upside down, unable to refi.

i guess there wont be as many erotic loans this year as we hoped.

Secret! · #5 (**permalink**) 12-20-2006, 10:18 AM

Just 20 minutes ago (look at the time stamp on this message), I learned yet another wholesaler has tightened it's belt - moving away from STUPID loans ... ResMae stopped accepting 95% & 100% LTV STATED submissions at any score as I understand it ... it's about time ... is all I can say about that