Lender's are Keeping Busy with Falling Loan Rates
Looks like the lender's are keeping busy lately with the rate drops. This is good for them, not to mention the people that are now able to refinance. Major institutions are making calls hoping to get people to refinance their non-traditional loans to loans that they can sell off. The only issue is that with the drop in the value of homes people don't have the 20% equity in their property anymore. More...
It is true that lenders are busy, but it is harder to get people financed now. The main reason is falling home prices especially if you are trying to do a refi. On top of falling home prices Fannie Mae is cutting appraisals by 5% right off the top now. You can only do cash out to 80% on stated income instead of 100%. From this point that phone is definately rigning for refi's but they are harder to get done now. You need to have equity in your property.
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