Oregon Mortgages

subprime market

With this subprime nightmare that is going on it seems as if the MBA and some other large banks are at least TRYING to take action to help solve the problem. I (like most) would agree that guidelines got to loose and some people were approved for loans who might not be able to afford the loan. One thing I would like to note is that to my knowledge all of my borrowers have made their payments on time.

It would appear that banks are making some early contact with consumers BEFORE their ARM starts to adjust to analyze if they can accept the new rising payment. If not they will look to modify the loan if possible to help prevent any defaulting. We’ll see how well it works out.

Just an interesting tidbit that I liked so I thought I would share it.