Is Your Company Ready For QM?

Is your company ready for Qualified Mortgage (QM)?

“A ComplianceEase audit of lending data from over 400 banks confirms that more than one in five loans originated today are not in compliance with the current qualified mortgage definition.”

Read Full Article Here

Mason-McDuffie Mortgage is ready for QM (Qualified Mortgage) and ATR (Ability to Repay), in fact – so are our Loan Officers. Our audit has shown that only 1.5% of our loans fell outside of the QM standard, which was far better than the 20% mark shown with the other lenders. It’s important to know how your company will compare. Here at Mason-McDuffie Mortgage, we are happy to already be positioned for success in originating loans that meet the QM standard. Our operations and compliance staff are production oriented while navigating the challenges of new regulations in our industry. As an originator it is important to know that you work on a platform of success in these ever changing times. So you must ask yourself, is your company is ready for QM? We are.

Call us today to learn more.

– Brian Moggan, EVP of Production

925-242-4410
bmoggan@mmcdcorp.com

Interest Rate Charts from Mason-McDuffie Mortgage

In this market it helps to look back at the history of interest rates. We hope you find the information helpful.

Click Here for the 30 Year FHLMC Rates On 30-Year Fixed-Rate Mortgage Chart

Click Here for the 200 Year Historical Rates On 30-Year Fixed-Rate Mortgage Chart

Click Here for the 20 Year FHA Interest Rate Average For 30 Year Fixed-Rate Mortgage Chart

Click Here for the Rent vs. Buy Index Chart

Click Here for S&P/Case-Shiller Home Price Indices Chart

 

Please call us at 877-275-6662 or email info@mmcdcorp.com if we can help you with your home financing needs.

Jason C. Frazier – CIO
Mason-McDuffie Mortgage Corporation

MBA: Stevens Calls for End to Government Shutdown

Washington, D.C. (October 3, 2013) – David H. Stevens, President and CEO of the Mortgage Bankers Association (MBA), today issued the following statement in reaction to the government shutdown and its affect on the housing market.

“The federal government shutdown will have a growing impact on the housing market the longer it continues. If this shutdown is temporary, the ones affected most will be out of work federal employees. However the longer it goes, the greater impact it will have on borrowers, the housing market and the national economy.

“Lenders processing loans that need tax transcripts, social security number verification, or FHA home loans face longer delays and reduced functionality from HUD, IRS, and the Social Security Administration. Different loan programs have different requirements, and these disruptions impact lenders in different ways, leading to confusion and fear among borrowers about whether they will be able to close on a home purchase or refinance. There are significant impacts on multifamily lenders, as well. Rental housing properties awaiting FHA financing cannot move forward.

“The furloughs can disrupt time-sensitive mortgage transaction deals by interfering with borrower lock agreements and causing interest rate disparities from the time of closing to the time the loan is securitized.

“For these reasons there must be a resolution so that borrowers and lenders are able to return to business as usual.”

The Impact of the Government Shutdown on the Mortgage Process

Though the media and both political parties would like you to believe that there will be no immediate impact on American businesses, that isn’t exactly true for the Mortgage industry.

Here at Mason-McDuffie Mortgage we want to make sure that everyone understand exactly what the impact will be if you are currently in process for a Mortgage Loan or starting out the Loan Application process.

The Immediate Impact
:

Mortgage Lenders need to verify Social Security Numbers for all borrowers. Currently this is not possible due to the shutdown.

All loans that are in need of tax transcripts to continue processing or get final approval of your loans will be delayed until the shutdown is over.

The shutdown has caused the USDA offices to close.  This means that existing loans that have been submitted to USDA for review will be delayed until their offices reopen. This also means that Rural Housing’s GUS approval system will be unavailable. Finally, Rural Housing will not issue Loan Note Guarantees or issue any new commitments during this time.

HUD/FHA/VA should continue somewhat normally provided that the shutdown does not drag on too long. There will be some reduced functionality and possible delays due to limitations in staff.

Borrowers that have been furloughed and whose employment is directly affected by the Government shutdown can expect delays in processing and/or closing of their loans.

According to the MBA, “A shutdown lasting a few days would slightly inconvenience lenders in processing loans, however a longer delay would have more serious impacts. Purchase loan volume could shrink and impede the recovery of the housing market. Additionally, long-term furloughs may disrupt time-sensitive mortgage transaction deals by interfering with borrower lock agreements and causing interest rate disparities from the time of closing to the time the loan is securitized.”

You can read a detailed analysis of the government shutdown on the mortgage industry by following this link here.

We will keep our customers and business partners informed with any updates. We all hope that the Government Shutdown will be short lived and will be brought to a resolution soon.

– Mason-McDuffie Mortgage