What tomorrow may bring: How QM impacts Realtors

Julie C. Nichols General

HousingWire – Kerri Ann Panchuk

Real estate agents have been somewhat absent in the whole debate over the qualified mortgage lending and ability-to-repay rules, but they are not immune from the consequences.

With the lending guidelines taking effect tomorrow, it’s definitely time for the consumer-side of the real estate business to get knowledgeable enough to help homeowners who may find themselves facing new outcomes when they apply for a mortgage.

This past week, I sat down with a Guardian Mortgage executive in Plano, Texas, and he noted that while absent from the debate, Realtors are definitely impacted by new lending rules.

If you don’t want to waste your time or your client’s, it’s crucial for a Realtor to know how the lending process is changing in a particular state. A preferred lender – at least in a state like Texas – may advise Realtors to skip the conditional pre-qualification process (which is quicker and easier) and move directly to a conditional approval before taking a client out to look for houses.

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