In a recent survey by the Federal Reserve, senior loan officers responses indicated that several banks are loosening their standards for low-risk mortgages! Almost 10% of the banks surveyed stated that they have eased those standards in the first quarter of 2013 and compared to the previous quarter that is up 5%. The results also indicated that nearly 20% of the bank risk professionals are expecting for the criteria that is used in approving mortgage loans to relax even more!! The 20% number is the third-highest level that has been recorder in the three (3) year history of the survey. The anticipated result is that more customers will be able to qualify for a mortgage at a competitive rate as many of those borrowers have been sidelined with the much tighter standards. You can read the complete article by Erik J. Martin in Sunday’s Dallas Morning News.
Steve Lester is a REALTOR living in Allen, TX.