IPFS News Link • Housing
..Richard Koo Learned When He Went Undercover Into A Bank And Pretended To Be A Homebuyer
• http://www.businessinsider.com, Joe WeisenthalI was surprised to find that the bank, one of the largest US financial institutions, had dramatically changed its lending stance a short while ago and was now aggressively expanding its home mortgage business. While the bank continued to require substantial documentation, it was very willing to lend and offered a wide variety of incentives.
Among the incentives were an offer to make the first month’s payment (up to $2,500) on behalf of the borrower and the availability of 95% loan-to-value loans for a slightly higher interest rate (LTVs are normally capped at 80%).