Pasadena Broker I am glad you chimed in. I almost passed out when I got the email.
I have spoke to a few brokers today and I have received a variety of stories. The bottom line is that it all sounds somewhat subjective until we actually see the legislation 100% passed.
Let me be clear on this for everyone, I am by no means in favor of any of this. It is bad in just so many ways that I cannot begin to start.
JWM your point about nobody in the secondary market would buy this crud rings clear but dude… they are FHA insured man. FHA insured. FHA insured. See what I am saying?
Pasadena I am glad that these loans are all full doc but by the same token, if you compare lending guidelines that are in place right now as we type, with the guidelines that will be in affect once this legislation goes through, it will be easier for buyers to qualify tomorrow then it is today. Also there are new homebuyers that effectively are locked out of the market today that will not be tomorrow.
As for myself something like this really bums me out. Hopefully the effects will not be pronounced. I am not advocating for anyone to buy now but to say this will not result in some additional sales is something I do not agree with.
