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500-page mortgage apps ‘the new future’

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Mortgage Professional America | 23 Jan 2014, 08:27 AM Agree 0
The days of thin mortgage apps and lax verification are in the past -- but has the pendulum swung too far in the other direction?
  • Nancy | | 23 Jan 2014, 08:59 AM Agree 0
    I just upload an FHA mortgage pkg to a lender yesterday & it was 310 pgs. Absolutely ridiculous!
  • being human | | 23 Jan 2014, 09:02 AM Agree 0
    whats funny is when I do a mortgage application with a lawyer. They always read everything. And when they have objections. I have to say take it or leave it. The mortgage won't be approved with out that form signed. So reading or not reading . the borrower has to sign.
  • dirk LO in Pa. | | 23 Jan 2014, 09:04 AM Agree 0
    For those LO's that have been in the business we have been thru this before. We go thru a laxed period where things were easy, then a catastrophe happens, then they over regulate then when the dust settles, they find a middle ground and ease off. Time will tell. I already see credit score minimums getting lower.
  • over whelmed | | 23 Jan 2014, 09:10 AM Agree 0
    And with the start of QM regulations effective on application on or after 1-10-14 no end sight.
  • Eileen W | | 23 Jan 2014, 09:37 AM Agree 0
    Maybe it's time for the buyers or would be buyers to appeal to the bureaucracy of all this paper work and not even understanding the original applications that have become harder to understand especially the GFE's
  • Bill | | 23 Jan 2014, 09:40 AM Agree 0
    Hopefully in 2016 there will be no more CFPB and the Dodd Frank ACT and Safe ACT will be repealed, Hopefully!! The States need to take care of their own. I've been in the industry 15 years and the past 4 have been anything but easy, The FEDS have lost all control of common sense, I'm baffled every day when I think; how on Gods green Earth were Democrats elected in Nov. 2006 to take over our country. Pray that never happens again. Stay strong my fellow mortgage professionals, stay strong.
  • Jolyn | | 23 Jan 2014, 09:53 AM Agree 0
    The last statement: "It’s going to be more challenging and more costly to do a mortgage, but the government’s okay with that" is not true - it costs more, but we're not supposed to pass that cost on to borrowers because we already charge them too much. We're already inundating them with documentation and additional costs yet the Government adds more requirements that demand we use 3rd-party providers who charge for these requried services, but yet we're not supposed to increase cost and they limit the fees we can charge? Flood certs, tax transcripts, employment verification companies - it just keeps getting more expensive to do mortgages, yet we aren't supposed to increase borrower costs.
  • Edward | | 23 Jan 2014, 09:56 AM Agree 0
    Twenty-seven years in the business has revealed to me that borrowers want to know three things: what is my interest rate? what is my payment? how much will it cost? The rest of the disclosures make them yawn and their eyes glaze over. If the legislators would start from this premise they could eliminate 3/4 of the unnecessary paperwork. Of course this would put many regulators and lawyers out of a job so there would be much resistance to any simplification. But so be it. This business does not have to be so difficult.
  • Griff | | 23 Jan 2014, 10:12 AM Agree 0
    I just purchased bigger fasteners for my files because the 2 inch ones don't hold all the paper anymore. A few files I have to use two folders for because they are so big. The answer is fewer pages, just like that one page GFE we used to have. Keep it simple stupid. Meanwhile, our government is allowing companies to dump chemicals into our water. Guess they are too busy focusing on keeping consumers from being responsible for their purchases.
  • Dennis Duncan | | 23 Jan 2014, 10:35 AM Agree 0
    Back to the old days. It is not now complex the case is but how well the consumer follows instructions. Pages 1,3,5,7 and 9 out of 10 no long cuts the mustard. It is more about coustomer education and compliance with the rules.
  • Dan Mcq | | 23 Jan 2014, 11:37 AM Agree 0
    Just remember it wasnt the borro weer who got rich here. The real bandits are laughjng all the way to kirks and kakos I think that's how you spell it. Anyway you are blaming the wrong party. The real thieves seem to have escaped justice here leaving you to fill the new longer docs and requirements that have NO BEARING ON THIS SITUATION AT ALL. Keep pushing!!!! Just like they say if you keep telling yourself something you will eventually believe it.
  • FAC | | 23 Jan 2014, 02:15 PM Agree 0
    The gov make it so hard the economy won't recover any time soon. The reason for this whole thing was those big banks is the blame.
  • appraiser | | 23 Jan 2014, 03:18 PM Agree 0
    All that paperwork and to separate the appraisal fee from appraisal management fee would lead to borrower overload of information.
  • Rick Phillips | | 24 Jan 2014, 07:55 AM Agree 0
    I got a bad hamburger the other day. Why didn't the govenment protect me!!?
  • Kimberly A | | 27 Jan 2014, 12:17 PM Agree 0
    It's the new "HOME LAND SECURITY PAT-DOWN" in mortgage financing. Borrowers are being audited and frisked at every level. Having to show proof of $500 in some cases. It's ridiculous.
  • Rick Veale | | 05 Feb 2014, 12:16 PM Agree 0
    Unintended consequences...bs. It is a well coordinated plan to drive originators and lenders to their knees. The perfect vantage point from which to watch our republic and our constitution crumble.
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