Financing Real Estate by Florence Foote | November 3, 2009 
One study of mortgages during the Great Depression found that almost half of urban, owner-occupied homes (on which there was a mortgage) were in default by 1934. The government’s answer was to sponsor the creation of Fannie Mae in 1938 (or as it is really called, the Federal National Mortgage Association), which was, and still [...]
Read the full article → Credit by Christina Inman | October 19, 2009
For homeowners facing foreclosure or bankruptcy–or considering a short sale of their property to avoid one or both–the effect the action will have on their credit is undoubtedly a huge concern. Though keeping their homes might not be an option at this point, there could very well be another one in the not-too-distant future, so knowing when they’ll be eligible to qualify for another mortgage is important.
Be Aware of the Rules of the Road
Earlier this year, Fannie Mae updated its credit guidelines for borrowers who experience one of these circumstances. And, in general, the wait time will now range from two to five years.
Homeowners who lose their properties to foreclosure or file multiple bankruptcies within a seven-year period will have the longest wait–five years.
In the case of foreclosure, additional requirements and restrictions will apply after five years and up to seven years as well, which include making a minimum 10% down-payment, having a credit score of at least 680, and having limited cash-out refinance options. Also, the purchase of second homes or investment properties is not permitted.
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What a Private Mortgage Market Could Mean to You
by Kevin Kaczmarek | March 9, 2011The New York Times featured an interesting article last week on life after the 30 year mortgage. More specifically, how the mortgage market would look like if Freddie Mac and Fannie Mae go away. Some would say, the reduction in government “guidance” in the mortgage market will be good for free enterprise and will create [...]