Posted on 06/22/2020 2:42:46 PM PDT by ameribbean expat
The Consumer Financial Protection Bureau announced Monday two notices of proposed rulemaking surrounding whats commonly known as the QM Patch. One of those rulemakings would remove the debt-to-income requirement from qualified mortgages.
Back in January, CFPB Director Kathy Kraninger sent a letter to several prominent members of Congress, saying the bureau has decided to propose an amendment to the QM Rule that would move away from DTI as a factor in mortgage underwriting.
Specifically, Kraninger said at the time that the CFPB has decided to shift from the DTI standard and move to an alternative, such as a pricing threshold (i.e., the difference between the loans annual percentage rate and the average prime offer rate for a comparable transaction.)
(Excerpt) Read more at housingwire.com ...
Well look at the Feds Debt to Income ratio! Would you give them a loan?
Yeah, this worked so well the last time.
Lending practices are the outshoot of long experience with lending results. It’s a business — one which which the government should not tinker.
What could possibly go wrong?
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Sowing the seeds of the next housing bubble. Learned nothing from previous debacles.
Give this about, what, 10 years and we’ll have another housing market bubble / crash.
I already saw this movie. It sucked. Zero stars.
Fortunately, Uncle Sugar can force taxpayers to back these worthless notes.
Being in banking, I remember the Ninja mortgage loans: No Job, No Income
I’m thinking more like October— 90 days after default.
“30% of Americans missed their housing payments in June”
On the one hand, "No Way!".
On the other, there's no way to avoid it. It's accepted widows and orphans investment wisdom that Treasury securities are the safest of all.
Is that a bubble I see coming?
Another fast way to destroy the middle class..The elites want 2 classes..Elites and poor...That’s it...
What they learned from tbe last crash is that it worked. It crashed just as they planned.
Giving mortgages only to those who can pay them back is raciss.
Not enough blacks are getting loans.
Give them a loan???
I wouldn't even sell them a gun!
Mortgage Crisis Number .........................how many?
dirty little secret
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