Waivers 50%. Hybrids 30%.

[Sadie]

When I went on vacation I was sitting next to a real estate agent on the plane and she told me about some special mortgage program for illegal immigrants. Its totally bonkers.

There is no such thing. Gotta have some documentation to get a loan. What they were probably referring to is an ITIN loan. That is a loan to someone with an individual taxpayer ID from the IRS, not a SSN. Not eligible for F/F, and will need a lower LTV and pay a higher rate probably. The ITIN does allow the lender to verify income.

 

[RCA]

At least the appraisers know who to blame for another lean Christmas. Maybe someone will do something about it eventually. Doesn't take much when you're desperate.

Maybe it is nothing more than avoiding the risk of lawsuits for discrimination/bias - and ever hungry attorneys.

 

[Sadie]

"In a month where inspection based appraisal waiver volumes were down 20%, Fannie Mae saw a 24% increase in the number of lenders using Value Acceptance + Property Data, increasing to 124 lenders in the month, and 439 overall.

Similarly, Freddie Mac saw an 11% increase in the number of lenders using ACE + PDR , totaling 150 for November and 505 overall.

There are 439 lenders who have delivered loans through Fannie Mae Valuation Acceptance + Property Data, including 239 independent mortgage companies and 121 banks and 82 credit unions. A total of 124 lenders issued loans using inspection based appraisal waivers in November with Valuation Acceptance + Property Data, up 24.0% from October, and up 79.7% from the prior year.

Freddie Mac ACE+ PDR (Automated Collateral Evaluation plus Property Data Report) market share for inspection based waivers in November was 46.3% on volume of $676MM, down 9.8% from October. Freddie Mac participation is at 505 lenders, including 199 banks, 44 credit unions, and 263 non-banks. A total of 150 individual lenders issued loans using inspection based waivers with ACE+ PDR, up 11.1% from October, and down 14.3% from the prior year."

Inspection Based Appraisal Waivers In November - Highest Use by Lenders

November saw 14.9% of active sellers deliver loans to the GSEs with inspection based appraisal waivers - the highest participation for 2 years

mtgefi.com

It seems that some market are in a decline, What are they going to do with that little tidbit of info?

 

[TerryRohrer]

There is no such thing. Gotta have some documentation to get a loan. What they were probably referring to is an ITIN loan. That is a loan to someone with an individual taxpayer ID from the IRS, not a SSN. Not eligible for F/F, and will need a lower LTV and pay a higher rate probably. The ITIN does allow the lender to verify income.

Maybe you should refer to that "Google" thing you are always demanding others rely on:

"Biden Offers FHA Loans to DACA Recipients on Day One
On the day he took office, President Biden directed the FHA to allow alien beneficiaries of the Obama-era Deferred Action for Childhood Arrivals (DACA) program with work authorization to seek FHA-backed mortgages."

"Biden’s Consumer Financial Protection Bureau (CFPB), an independent executive branch agency, and Department of Justice (DOJ) had just issued a statement notifying creditors they “should be aware that unnecessary or overbroad reliance on immigration status in the credit decisioning process, including when that reliance is based on bias, may run afoul of [Equal Credit Opportunity Act] antidiscrimination provisions, and could also violate other laws”."