Re: Seasoning Issues are back! - Posted by Ben Carmona
Posted by Ben Carmona on April 12, 2007 at 10:08:38:
You dont need to have a mortgage broker that has lots of sources of money. Rather, you need a broker who understands the guidelines behind seasoning issues and has researched the hundreds of lenders out there for these programs.
The standard conventional mortgages with Fannie Mae guidelines do not have seasoning requirements. However, most investors wont fit into these loans because ltvs, income documentation, # of properties owned, or credit. This is why those same lenders have AltA loans with higher ltvs and reduced doc options. A very few of these lenders have no seasoning requirements.
Clients who are really credit challenged face being approved within the subprime market. We’ve all seen what’s happened in that sector. Previously the majority of subprime lenders had a 12 months seasoning policy. A hanful were at 6 and none were at less unless it was a no cash out refinance. I would imagine that some that were at 6 may have increased this as well.
You just need to find a mortgage consultant who can do loans nationwide and specializes in investment loans including cash out refinances with no seasoning.